Arson and Vandalism During Gen-Z Protests Inflicted Rs 27 Billion Damage on Private Businesses: Report

Private sector establishments suffered losses of more than Rs 27 billion during the violence and vandalism that erupted during the Gen-Z movement on September 8 and 9, according to a government assessment report.

The Government Assessment Report on Damage to Public Property, Physical Structures and Private Establishments and the Reconstruction Plan for Public Infrastructure states that industries and businesses owned by the private sector incurred losses worth Rs 27.49 billion.

The report shows that damage caused by arson and vandalism of buildings accounted for the largest share—45.2 percent—of the private sector’s total losses. This was followed by damage to other physical assets (27.4 percent), losses to temporary and other movable private property (21.7 percent), and vehicle damage (3.4 percent). As the bulk of the damage was concentrated on buildings and permanent assets, the report notes that the unrest had a direct impact on production, services and employment.

According to the assessment, arson and vandalism caused damage worth Rs 12.43 billion to industrial and commercial buildings and other privately owned or used structures. This amount represents 14.7 percent of the overall damage and 57.8 percent of the losses borne by the private sector alone.

A total of 133 private-sector buildings were damaged, with Bagamati Province accounting for the highest losses. A total of 96 buildings were damaged in Bagamati Province alone, resulting in losses worth Rs 10.68 billion.

The report further states that vehicles used by industrial and commercial establishments suffered damage worth Rs 1.30 billion, which is 6.5 percent of the private sector’s total losses. Of the 272 damaged vehicles, 264 were operational at the time of the incidents, while eight were non-operational. Around 75 percent of the vehicles were fully damaged, while the remaining 25 percent suffered partial or minor damage. Only 228 vehicles were insured, with a total insured value of Rs 1.30 billion.

Losses to other physical assets owned by private establishments amounted to Rs 7.55 billion, accounting for 35.1 percent of private-sector losses. Most of the damaged items were in active use, and the majority were completely destroyed. These included furniture and fixtures, electronic and electrical equipment, laboratory and technological materials, networking systems, and communication devices, damaged due to arson, theft and vandalism.

Damage to other permanent physical assets was estimated at Rs 3.42 billion, with extensive losses reported in furniture, fixtures, electronics and electrical equipment.

Cash and Valuables Losses Estimated at Rs 2.81 Billion

The report estimates that losses to cash and valuables during the movement totalled Rs 2.81 billion. Of this, private establishments alone suffered losses worth Rs 561.8 million, which is 2.6 percent of total private-sector damage.

“Losses to cash and valuables were mainly caused by theft and arson,” the report states, adding that 63.2 percent of such losses involved other high-value items. Of the Rs 203.9 million lost in cash, 67.9 percent was due to arson, while 20.7 percent resulted from theft.

Households also Affected

The unrest also affected the household sector, the report says, with damage reported to private residential buildings, vehicles used by households, permanent assets and movable property, disrupting income generation and daily activities.

Total household losses exceeded Rs 6.05 billion, with the highest damage caused by arson and vandalism of buildings. Of the total, losses worth Rs 2.85 billion were recorded in buildings, Rs 905 million in vehicles, and Rs 1.10 billion in other physical assets.

Only Five Percent of Damaged Buildings Insured

The report highlights Nepal’s low insurance coverage, noting that of the 2,671 buildings damaged during the movement, only 130 buildings, or 4.9 percent, were insured. Among the insured damaged buildings, 19 were government-owned and 111 privately owned.

During the unrest, 2,234 government buildings and 537 private and community buildings were damaged, the report states.