In a move aimed at curbing unregulated property dealings, the Government of Nepal has introduced a new policy requiring official approval for real estate transactions exceeding Rs 30 million when conducted through a company. The measure is designed to enhance transparency and oversight in high-value property transfers.
The Ministry of Land Management, Cooperatives, and Poverty Alleviation announced the decision on Monday through a notice published in the Nepal Gazette, invoking the authority granted under Section 26 (a and b) of the Land Revenue Act, 1976.
Under this provision, six metropolitan cities and eleven sub-metropolitan cities have been brought within the scope of the new rule. Consequently, official authorization from the relevant authority will now be mandatory for property transactions within Kathmandu, Lalitpur, Biratnagar, Birgunj, Bharatpur, and Pokhara Metropolitan Cities. Likewise, the rule will apply to transactions conducted in the sub-metropolitan cities of Dharan, Itahari, Janakpurdham, Jitpursimara, Kalaiya, Hetauda, Butwal, Ghorahi, Tulsipur, Nepalgunj, and Dhangadhi.
In addition to this reform, the government has decided to dissolve the Land Problem Resolution Commission Formation Order 2024, effectively abolishing the Land Reform Commission and all its district-level committees. This step signals the government’s intent to streamline land governance mechanisms and strengthen institutional control over real estate activities.
The new policy is expected to tighten regulatory scrutiny, deter illicit transactions, and promote accountability in Nepal’s property market, which has long been criticized for opaque practices and speculation-driven inflation.
