Abstract
THE YEAR 1975 has certainly not been a "normal" year for Nepal. Apart from the King's Coronation, which was a momentous event for all Nepalis, major changes have been made in the constitution. This automatically means a change in the structure and direction of the "partyless Panchayat" political system. On the economic side the events are less spectacular. Prices have continued to rise and the balance of payments position shows increasing signs of stress. Growth rate in gross domestic product adjusted for increases in population promises to remain stagnant. Even the government has openly admitted both in national and international forums that the economic situation remains unwieldly and diffifficult.1
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