The question arises, do federal or unitary systems promote better social, political and economic outcomes? Within three broad policy areas—political development, economic development, and human development—operationalized across other governance indicators, the general public expects better outcomes from the state, whether it operates under a unitary or federal system.

RUKUM, Feb 21: Former Prime Minister Baburam Bhattarai has stressed on the need to strengthen the local units in order to effectively implement the federal system.

In a series of events post the peace treaty between the government, and the then Maoist rebels, the nation has accomplished several achievements. The new constitution is among the most remarkable achievements. Nepal, which was unified by Pritivi Narayan Shah, has now been divided into seven federal states. This is a major move of the country toward federalism. The federal system refers to the system where power is divided between the central and regional or state government.

Under the federal system, all the state agencies have to work in a new structure and change the working modality of the civil servants, formulate all the necessary laws and arrange resources to the highly-expensive governing system. The federal system will be paralyzed if the systems within it are not well organized.