Post-medival history records Nepal as divided into more than three dozen feudal independent principalities. During the second half of the 18th century, Gorkha - one of these petty states in the central hills, managed to achieve pre-eminence over the other hills states through either direct conquest or the other states' acceptance of vassal status. In 1828 BS. The three kingdoms of the Kathmandu valley - Patan, Bhaktapur and Kathmandu, were also annexed to Gorkha. The territorial expansion of Gorkha contined towards both the east and west, and eventually Tista, close to Sikkim and Kangara, across the Jamuna river in India, were positioned as the eastern and western frontiers of Nepal respectively. Its borders have changed, but Nepal has remained as an independent and sovereign state since that time.

Throughout its history Nepal has had several ruling dynasties. The present Shah dynasties are the successors of King Prithivi Narayan Shah who unified the country under the house of Gorkha in the eighteenth century. However, there have been many occasions when Nepal's king were only titular ruler, and the prime minister ruled the country in the reality. Especially, during the period between 1863 and 1894 BS, the government of Nepal was effectively in the hands of prime ministers. This marginalization of monarchy continued even after the assassination in 1894 BS of Bhimsen Thapa, the most powerful prime minister of Nepal. On 12th September 1846 (1903 BS), Jung Bahadur Rana established a dynasty of hereditary Rana prime ministers who ruled Nepal until their overthrow and the establishment of democracy on 2007 BS.

The Rana family oligarchy ruled Nepal autocratically for more than one century. During this time no democratic rights were respected, and most of the people were treated as slaves. The Rana prime ministers wielded unlimited powers with the legislative and judicial powers of the nation resting in their hands. Towards the end of the period of Rana rule, during the 1940s, a popular people's movement arose against the Ranas. In response, prime minister Padma Sumsher Rana promulgated the Constitutional (Baidhanic) act, 2004. This act provided for a bicameral (two house) legislature with the Rastriya Sabha (National Assembly), and the Bhardarishabha (Assembly of Courtiers). The former was the Lower House, and had 60 to 70 members, and the latter was the upper house, with 20 to 30 members. Both houses were permanent bodies and were supposed to act like a parliament. However, they were merely symbols of the legislature, as both of them were fully controlled by and indeed acted as consultative institutions to the Rana prime ministers.

In 2006, a popular movement of the people overthrew the Rana family oligarchic system. This marked the dawn of democratic era in Nepal. An Interim Constitution was projulgated in 2007. This constitution opened the gates for a democratic constitution, reorganization of the administration and development activities. The Interim Constitution continued in place of eight years, in an exciting period for experimentation with democracy that saw the growth of many political parties. However, feuding between the political parties impaired the task of drafting a democratic constitution by a popularly elected constituent assembly. The political parties failed to act maturely. The change of prime minister brought about by a power hungry apolitical coalition for their own vested interests led the administration of the country into a state of fluidity and corruption. As a result, the plan to elect a constituent assembly did not materialize and eventually a Constitution Draft Committee was appointed by the king to accomplish this task.

On 3rd Poush 2015, the Constitution Draft Committee adopted the first real constitution - the Constitution of Nepal. However, the Constitution did not last long as it was scrapped through a coup-d'etat about two years after its promulgation. On 5th Poush 2019, a fresh constitution - the Constitution of Nepal, was promulgated. This constitution introduced two basic concepts, i.e. the sovereign monarchy and the Panchayat polity. The Panchayat system was a system based on the "Vedic Polity" - a hindu philosophy, interpreted as a combination of of unity, stability and peaceful progress. The democracy established by the popular movement in 2006 was abolished and the Panchayat system continued for three decades, engulfing the nation in the tyranny of a party-less system of despotism and corruption.

From 2032, the discontented people, especially the students and workers began agitating against the Panchayat system. In the mid 1980s, corruption and political suppression reached critical levels in Nepal. Violations of human rights became deplorable and an absolute Police state prevailed. From 2046 BS, political parties began to unite to fight for democracy. Intellectuals, professionals, students, workers and farmers came out to support the movement to restore democracy, demanding a multiparty system and constitutional monarchy. Eventually, the king was forced to withdraw the Panchayat system as a result of the people's movement and a democratic constitution was promulgated in 2047.