March 1816 which defined Nepal's current territorial boundaries. The treaty therefore spared Nepal of colonisation similar to that of neighbouring countries. Throughout the Shah dynasty Nepali society underwent a period of Sanskritisation which established the political, economic and cultural dominance of high-caste Indo-Aryans, most notably the Bahuns and Chhetri caste who established Khas Kura, later known as Nepali, as the official state language. Democracy movement of 1951 The mid-20th century saw the emergence of an educated elite in Nepal due to an expansion of the country's education system leading to much increased literacy rates and rising levels of higher education attainment in the country. After India's independence, political parties were established and engaged an organised struggle against the Rana monarchy in neighbouring Nepal. The Nepal Communist Party was founded in 1949 with the goal to set up a democracy and People's Republic. Conversely, the Nepali Congress Party, later Nepali Congress, was formed in 1947 and gained support from the Nepal Communist Party to stage an armed revolution against the Rana monarchy. Under significant international and domestic pressure, the royal family and the Nepali Congress agreed to institute a peaceful and stable transition of democracy regarded as the Delhi Compromise of 1951. A transitional government was instituted with in a constitutional monarchy framework, and elections won by the Nepali Congress Party which was instrumental in abolishing the Rana regime and ran on a social-democratic basis. In December 1960 King Mahendra dissolved the parliament and devised a ban on political parties and police jailed members of political parties and members of the national cabinet. Panchayat era The King introduced the Panchayat system of governance which restructured political power to the King elections to holding direct elections at a communal level. While Panchayat legislation formally guaranteed freedom of speech, it was restricted through a number of royal laws, including lèse-majesté legislation which prohibited critique of the royal family. The political reforms restructured and curtailed the parliament's autonomy and authority as the King held executive power. Political representatives were strictly monitored on their loyalty to the monarch, and political representation held narrow. Popular discontent mounted in 1979 in student protests leading to a referendum on the future of the Panchayat system which resulted in the preservation of the Panchayat system with minor institutional reforms. Jana Andolan 1990 Following a trade dispute with India that resulted in price hikes and shortages of consumer goods a