In the past 90 days, there has been an active presence of foreign media and international agencies in social and political advertisements in Nepal through Meta.
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In the past four years alone, nearly 500 million rupees have been spent on digital platforms regarding Nepal’s social and political issues. According to data from the Meta Ad Library, 39,636 advertisements were broadcast via Facebook and Instagram during this period. In the past 90 days, there has been an active presence of foreign media and international agencies in social/political advertisements in Nepal through Meta.
According to the Meta Ad Library, from September 2022 to the present, 366,850 US dollars have been spent on advertisements related to social issues, elections, and politics from Nepal. In Nepali rupees, this amounts to more than 48 million. Over the four years, UNICEF spent the most, with 20,080 dollars for 316 advertisements. Integrated Nepal is second, spending 14,083 dollars, and My Voice Counts is third, spending 8,656 dollars.
In the past 90 days alone, the page named ‘My Voice Counts’ spent the most, with 2,374 dollars. ‘Routine of Jhapa 5’ spent 546 dollars, and ‘Sian Che Medical Institution’ spent 257 dollars. Looking at the data from the past 30 days, these same pages show the most activity. During this period, the secretariat of former Finance Minister Prakash Sharan Mahat spent 131 dollars, and ‘Sajha Party’ spent 173 dollars on advertisements.
Among those posting advertisements in the past 90 days, foreign state media and agencies with geopolitical interests are also notable. Organizations such as Indo-Pacific Defense Forum, Global Times, CGTN, and CCTV Plus have broadcast advertisements targeting Nepal. These advertisements mainly cover development projects, news, and international relations. The page named Indo-Pacific Defense Forum last broadcast an advertisement up to July 13.
Party mechanisms such as Congress and Nepal Rises have also used advertisements to reach citizens with their programs. Various consultancies and personal pages have been posting a large number of advertisements in the name of social issues. Analyzing the top institutions spending on advertisements, UNICEF is at the forefront. It spent 20,080 US dollars for 316 advertisements.
On the individual side, names such as Som Prasad Pandey and Shri Gurung have also spent thousands of dollars on advertisements. Recently, the Routine of Jhapa 5 and Sajha Party pages have advertised through STR Holdings. These pages posted advertisements up to February and March.
In the growing wave of digital advertising, the aspect of transparency appears weak. According to Meta’s policy, a disclaimer on the source of spending for political advertisements is mandatory, but most advertisements are running without disclaimers. China’s ‘Xinhua News’ alone has run 310 advertisements without disclaimers. Organizations such as Indo-Pacific Defense Forum, Global Times, and United Nations Alliance of Civilizations have also advertised without disclosing their investors. Personal pages such as Dr. Abhijit Gupta, Arjun Shahi, and Janaki Bhusal have also posted advertisements without disclaimers.
The government has recently issued the ‘National Advertising Policy, 2083’ to bring advertisements conducted through social media and digital platforms under formal regulation. According to this, sponsored content and influencer marketing on social media must be self-declared. “Sponsored content and influencer marketing will be required to be self-declared, and advertisements such as deepfakes created using artificial intelligence will be regulated,” states Policy 9.13.
Meta included Nepal’s political and electoral advertisement data in the Meta Ad Library for the first time during the September 2022 (the House of Representatives and Provincial Assembly elections held in Mangsir 2079) elections. Although spending on social media advertisements is small, their impact is significant, as they can be targeted to specific electoral constituencies, groups, and genders, so they are taken seriously.
The Election Commission began efforts to regulate during the 2079 local elections by collaborating with technology companies such as Meta and TikTok. Since then, Facebook has included Nepal in its Ad Library and started providing details of political, social, and election-related advertisements and their expenditures from Nepal.
When showing advertisements targeting Nepali users or the market within Nepal via platforms such as Facebook and Instagram, Meta must collect 13 percent VAT from consumers and remit it to the government. Foreign technology companies with annual transactions exceeding 3 million rupees must also pay a 2 percent electronic service tax on the total transaction value.
In fiscal year 2079/80, eight foreign companies deposited a total of 91.7 million rupees in VAT. In 2080/81, 18 companies deposited a total of 358.5 million rupees in VAT, and in 2081/82, 19 companies deposited a total of 426.5 million rupees in VAT, according to the Large Taxpayers Office. In 2080/81, 48.995 million rupees were collected as electronic service tax, which increased to 63.542 million rupees in 2081/82.
