The Provincial and Local Governance Strengthening Programme (PLGSP) represents Nepal’s primary strategic framework for translating federalism from a constitutional concept into a functional reality. Managed by the Ministry of Federal Affairs and General Administration (MoFAGA), the program bridges the gap between the three tiers of government by building the institutional, organizational, and individual capacities of 7 provinces and 753 local governments. Despite a delayed start in the 2024/25 fiscal year, the program successfully established a unified Implementation Guideline and activated key coordination platforms like the Provincial Coordination Councils, ensuring that subnational governments move toward a more autonomous and accountable service delivery model.

A significant portion of the program’s recent success lies in its aggressive push for digitalization and legislative clarity. By deploying IT officers to 653 municipalities and integrating local governments into the Government Integrated Office Management System (GIOMS), PLGSP has drastically modernized administrative workflows. Furthermore, the focus on social inclusion—highlighted by GESI audits and leadership training for women and marginalized groups—ensures that governance is not just more efficient, but more equitable. While challenges like high staff turnover and budget absorption persist, the program’s shift toward evidence-based planning and electronic governance has laid a resilient foundation for Nepal’s federal future.

Key Achievements (2024/25)

• Digital Transformation: Recruited and deployed IT officers to 653 local governments and successfully integrated all 137 LGs in Koshi Province into the Government Integrated Office Management System (GIOMS).
• Legislative Milestones: Facilitated the enactment of the Provincial Local Service Act in Sudurpashchim, providing a formal legal framework for local civil service management.
• Institutional Performance: Over 81% of local governments (734 out of 753) successfully completed the Local Institutional Self-Assessment (LISA) to track and improve their governance metrics.
• Capacity Building: Trained more than 11,700 elected representatives and officials across all seven provinces in areas including fiduciary risk management, judicial committee functions, and digital literacy.
• Accountability & Inclusion: Institutionalized public hearings in over 30 local governments and conducted 19 Gender Equality and Social Inclusion (GESI) audits to ensure marginalized voices are heard in the planning process.
• Innovative Funding: Successfully operationalized the Innovative Partnership Fund (IPF), supporting localized pilot projects ranging from digital education to climate-smart agriculture.

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