Prime Minister Girija Prasad Koirala, who dissolved parliament and called for mid-term elections despite having a majority in the House of Representatives and 36 lawmakers from his own party having failed the government's policies and programs, took responsibility for the defeat of the Nepali Congress.

The Congress, which had been given the responsibility of running the government for five years, had fallen from power to the streets due to its own reasons. Despite serious disagreements within the party, Prime Minister Koirala, who had forced the mid-term elections, ultimately had to take responsibility for the defeat himself.

He had held a press conference at the Prime Minister's residence in Baluwatar on November 20, 2002 and said, 'I sought a fresh mandate.' The reason for the defeat of the Congress must now be sought within the party. I am fully responsible for the defeat.' Not only was there extreme conflict in the party, but Ganeshman Singh, the commander of the Jana Andolan 2046, had left the Congress.

Ganeshman had been seriously disagreeing with the Prime Minister's style of work. He had even called for the defeat of Congress candidates in some constituencies. As per his wishes, a campaign was launched under the leadership of leader Jagannath Acharya to defeat the 'corrupt Congress'. With rebel candidates running in more than 50 constituencies, even the so-called elite leaders of the Congress were defeated by a wide margin. The internal conflict within the party had given the Congress the opportunity to lead the government for the first time in Nepal. The UML, which became the first party in the mid-term elections, had announced that it would form the government under its own leadership. When the results of 199 seats out of 205 constituencies held on Kartik 29, 2051 were announced, it was announced that the Congress had won 80, the UML 86, the Rastriya Prajatantra Party 20, the Nepal Mazdoor Kisan Party 4, the Nepal Sadbhavana Party 3 and independent candidates 6 seats. While the counting of votes was going on in Solukhumbu, Dhanusha, Kalikot and Dolpa, Prime Minister Koirala took responsibility for the Congress' defeat and informally requested King Birendra to remove himself from office by starting the process of forming a new government according to the constitution. He met the King on the same day of the press conference and expressed his gratitude and appreciation for the special and intimate support received by His Majesty's government during his term as Prime Minister.

Speaking at a press conference when he was about to step down from power, Koirala claimed that he was well aware of the difficulties that the Prime Minister would face and that the people had indicated to the Congress to remain in the opposition.

Claiming that democracy would be strengthened if everyone worked within the framework of the constitution, he said that the results of the mid-term elections were unexpected for the Congress. He issued a statement reminding that even after the Congress left power, it had struggled for democracy for five decades. He said that the path was ready for all political parties to move forward in the practice of parliamentary democracy, decentralized governance, rural-oriented development, social justice and liberal economic development. The government was in operation for three and a half years under Koirala's leadership. But his relationship with the main opposition UML was not good from the beginning.