Nepal’s political scenario has experienced structural transformation since the signature of the 23-point agreement among the parties in December 2007. The Historic Constituent Assembly Election was held peacefully. CPN（Maoist） emerged as the single largest force in CA. The new parliament abolished monarchy and formally declared Nepal a republic. Political parties wanted to share power in the parliament，thus led to a political stalemate for more than four months. A coalition government was formed successfully while NC chose to stay out of the coalition. The new government faces series challenges such as completing peace process，writing a new constitution and achieving economic development.