Govt calls for more aid as NDF kicks off

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KATHMANDU, Feb 4: The much-awaited meeting of Nepal Development Forum (NDF) began here today with the government calling for more financial assistance from various bilateral and multilateral donor agencies and countries to meet the present crisis of resources.

The government hopes to garner support from the international donor community in its bid to quell the Maoist insurgency, which has forced the government to cut down sizeable percentage of development budget to meet the growing security expenses.

Earlier known as the Paris Aid Group, the meeting is being organized in Nepal for the first time. This is the major event for policy dialogue between the donors and the government in setting a crucial framework of future cooperation.

The NDF meeting, being participated by the representatives of 24 donor countries and agencies along with the high government officials, is crucial as almost 85 per cent of the official development assistance to Nepal is channeled through this Forum.

During the four-day meeting, the government will present the Tenth Five-Year Plan/Poverty Reduction Strategy Paper (PRSP), the Medium Term Expenditure Framework and strategies and plan of actions for the sectoral reforms as the key agenda.

Prime Minister Sher Bahadur Deuba, in his inaugural address, said that the government is committed to continue economic and institutional reforms to accelerate development activities of Nepal focusing it on reducing poverty and said that the proposed PRSP would take more concrete steps in that direction.

He further said that the government is committed to achieve the goal by modernizing and commercializing agriculture sector, which provides livelihood of the 80 per cent of the total population. "Without strengthening rural economy through changes in agriculture sector, there is no hope for economic transformation and poverty alleviation," he said.

PM Deuba expressed his deep gratitude to the donor countries and agencies for their continued support in Nepal’s development endeavor and urged them for more stronger partnership at this critical phase in the development process due to the problems created by internal disturbance and external environment.

Speaking on the same occasion, Dr. Mieko Nishimizu, Vice President-South Asia of the World Bank, asked the government to accelerate the policy of good governance to eradicate poverty and stimulate developments. She said that present crisis in the governance in Nepal has been reflected through complexities as it has been corroding national economy, distortion in the distribution of income, wealth and human capital and threatening social justice and harmony.

"Nepal now faces two manifestations of the crisis of the governance: the Maoist insurgency and a grave fiscal crisis," she said.

She also warned that Nepal may become imprisoned in a vicious circle of bad governance and urged to act to break such circle with the help of change oriented leaders. She also praised number of reform measures initiated by the government and hoped that it would have positive impact in resurrecting good governance and reducing poverty.

Finance Minister Dr. Ram Sharan Mahat said that despite number of achievement Nepal witnessed in the social and economic fronts after adopting the liberal economic policy in 1990, poverty has been the prime concern. According to recent estimate, about 38 percent of Nepal’s 23.2 million people presently live under abject poverty.

Referring to the latest challenges of the economy, Dr Mahat said that global economic turndown combined with the threat posed by the Maoists in internal security have contributed for the present domestic economic slowdown.

"The low return on the infrastructure development, soaring regular expenditure mainly due to surge in security bill, losses and mismanagement of the public enterprises, lack of good governance creating unaccountable and non-transparent civil administration are some of the major challenges of the economy," he said. Despite these challenges, the government is committed to implement massive reforms in civil service and governance, corruption control and financial sector, Dr. Mahat said.

Among other economic agenda, he said that government is committed to speed up the process of privatization and said that ballooning non-performing assets and inefficiency of the two largest banks has been the major challenge in accelerating reforms in financial sector. Hence, Dr. Mahat said, Nepal needs substantial external aid to support its development efforts. "Nepal needs flexible budget support to protect its core development priorities," he stressed.

Prithvi Raj Ligal, Vice Chairman of National Planning Commission, said that the proposed Medium Term Budgetary Framework is a bold step taken to maximize the utilization of the public expenditures. However, he said that the poor implementation of the development policies and programs of the government and poor service delivery are the major challenges of the development endeavor of Nepal. Dr Bimal Koirala, Secretary at the finance Ministry said that the government has the strong belief that speedy implementation of the reforms is the only way to accelerate the development. "Reforms, more reforms and strong reforms is the only way to achieve broad-based and sustainable economic growth," he stressed. The meeting will begin deliberations on Nepal’s proposals and policies from Tuesday and the donor community is also expected to come up with host of suggestions to improve Nepal’s performance in the coming days.

EU mission for controlling graft

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KATHMANDU, Feb 4: While welcoming its participation in the Nepal Development Forum (NDF) 2002 meet today, the European Union Heads of Mission (EU HoM) in Kathmandu on Monday issued a veiled criticism of the government by pointing out corruption at all levels, low standard of governance and non-implementation of promised anti-corruption measures.

Issuing a statement, the EU HoMs used the "opportunity for frank and open discussion" that the unprecedented level of insurgency called for, saying that the "widespread corruption at all levels of government" reflected an unacceptable neglect at the political level of the apparent needs and aspirations of the people.

The HoMs "regretted" that the anti-corruption measures called for at the last NDF in Paris in 2000 have not materialised. However, it welcomed the recent initiatives taken by the government to combat corruption.

Speaking about the Maoist insurgency of about six years, the HoMs said that the "unprecedented level of insurgency" called for frank and open discussion on the root causes of conflict and political unrest.

Emphasising that Nepal’s political and economic problems could only be secured through negotiations and not through the use of force, the HoMs nevertheless supported the measures taken by the government following the unilateral Maoists violation of the de-facto cease-fire last year.

However, the HoMs expressed their concern about the ‘serious deterioration in human rights situation in Nepal since the proclamation of the State of Emergency" in November last year. But it also condemned acts of violence by the Maoists in severest terms.

It called for urgent measures to be taken in the short term in response to the emerging insurgency and noted that a "costly counter-insurgency campaign is on going" while at the same time development has come to a standstill. The root cause of emergency, besides poverty, is the low standard of governance at both the central and local levels.

As a solution, the HoMs suggested a multi-pronged approach to get the development back on track and to improve governance at all levels.

Writ against Cabinet decision

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KATHMANDU, Feb 4: Two separate writ petitions were filed at the Supreme Court Monday demanding annulment of a recent government decision to transfer 150 staffs of the National Investigation Department (NID) to the Nepal Police force and the Special Police Department.

While the first writ, filed by 49 people including an Inspector of the Special Police Department, asserts that the staffs of the NID and the Nepal Police cannot and should not be transferred keeping at the same level, the second writ filed by advocate Bal Krishna Basnet claims that the move was an unlawful one.

Government sources said the decision was reached under intense pressure from Home Minister Khum Bahadur Khadka on January 8. Out of the 150, 59 were decided to transfer to the Nepal Police force and 91 to the Special Police Department. The sources claimed that more than 60 percent of those transferred came from the Minister’s home district of Dang.

The writs have made the Cabinet Secretariat, Home Ministry and the Police Headquarters as defendants, while appealing the high court to immediately issue an interim order to stop the decision from getting implemented.

RPP still inconclusive about fate of emergency

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KATHMANDU, Feb 4: Rastriya Prajatantra Party (RPP) thoroughly discussed the present political situation of the country and the role of the party during the upcoming 21st session of the Parliament at a meeting held at its parliamentary party office here today.

Talking to The Kathmandu Post, General Secretary of RPP, Pashupati SJB Rana said that the party president, Surya Bahadur Thapa presented a progress report on broader national consensus at the meet.

"Broad outline of the broader national consensus prepared jointly by the four political parties including NC has been handed over to senior leaders of the concerned parties," said Rana.

Those involved in drawing the broad outline were Kamal Thapa, spokesperson of RPP, Govinda Raj Joshi, assistant general secretary of NC, UML standing committee member Bharat Mohan Adhikari and NSP general secretary Rajendra Mahato.

Rana also said that the meet discussed the issue of extension of emergency. "The issue on extension of emergency was also discussed but ended without any conclusion."

The party president Thapa chaired the meet. Another meeting of the party is due for February 10 at the same venue.

SAC concern on present law and order situation

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KATHMANDU, Feb. 4: The parliamentary State Affairs Committee (SAC) has asked the government to immediately issue an order on the dos and don’ts during the emergency, as per the Article 115.7 of the Constitution.

The SAC submitted 12-point directives to Prime Minister Sher Bahadur Deuba at his office, which has shown grave concern on the law and order situation currently prevailing in the country’s rural areas.

"Though the situation in the headquarters have improved since the declaration of emergency, the situation in the villages has deteriorated than pre-emergency time," the report said.

The report of the committee, which is regarded obligatory to the government in the countries practicing parliamentary democracy, also has urged the government to flow factual information about the killing of innocent civilians. "If the innocents being killed in action have been branded as terrorists, the state is doing injustice to them," the report said.

The SAC has suggested the government to be aware of victimizing the innocent civilians and to take action only to those proved guilty.

The SAC report has also cautioned the government on the gradual confusion and weakening of the civil administration. "It has endangered the whole political system and governance," the report further stated, adding, "The solution of the problems should be sought under civil administration."

The committee has urged the government to arrange proper coordination among the civil administration and security agencies, political parties and the administration and security agencies, the absence of which has hindered the speedy improvement in the situation. "There is a lack of basic equipment and resources to the security agencies deployed to fight the Maoists," the report said.

The directive has pointed finger at the efficiency of the security and intelligent agencies and suggested making them swift and efficient immediately.

The committee has also urged the government to provide reports on the activities of the security agencies to the committee.

Presiding over the SAC meeting today, former Prime Minister Surya Bahadur Thapa suggested Prime Minister Deuba to take the directives sincerely and issue directives to the administration and security agencies to implement the issues pointed out by the committee.

"It will help the government to acquire the confidence of the parliament," Thapa said, hinting at the ratification of the state of emergency in the parliament, which is convening on February 10.

"The report will inspire the opposition to ratify the emergency," Khemraj Bhatta Mayalu, Minister for General Administration said. Minister of State for Home Devendra Raj Kandel informed the meeting that the problems related to the administration have been solved. "There is no problem of CDOs, except in two districts."

Two Maoists shot dead, civilian killed by rebels

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KATHMANDU, Feb 4: Security forces shot dead two Maoists on Sunday in exchange of fire and arrested six rebels along with cache of arms in Seje village of Rukum district, according to the Defence Ministry.

Nine other Maoist suspects were also arrested along with nine country-made guns in Chauratha area of Dailekh district, the Defence Ministry said here Monday

In another incident, a group of Maoists beat Kedar Sahani to death in Hajariya village of Sarlahi district, according to the Home Ministry. Seven others sustained injuries in the incident.

A press release issued today by the Ministry said that the army personnel seized nine guns from Matsya Pokhari and Apung areas of Sankhuwasabha district, and property worth Rs. 1,50,000 hidden by the rebels from Koyapani area of Dadeldhura district in the far-western region.

The Ministry added that locals of Palpa district handed over four country-made guns to the security forces yesterday. Apart from Rukum and Dailekh, the security forces arrested 34 other Maoist suspects from across the country yesterday.

In Syangja, a group of armed Maoists in military uniform ransacked over 100,000 rupees of property from a house of an ex-army man at Chandi Kalika village of Putali Bazaar Municipality on Sunday night, our reporter quoted the security officials as saying.

Seven armed rebels entered Dal Bahadur Gharti’s house identifying themselves as security personnel from the Bhairavi Dal Gan (barracks). The Gharti family realised after the rebels in military disguise searched only for cash and valuables. The victim said that the rebels made off with Rs. 90,000 in cash and gold. The rebels looted the house during the night hour curfew. The dusk-to-dawn curfew is in place since the rebels attacked the district headquarters on November 23. The rebels had locked up the family members inside the house before fleeing the scene.

In another incident in the mountain district of Solukhumbu, the rebels on Sunday night exploded socket bombs targeting the busiest Lukla airport, our correspondent from Biratnagar quoted locals as saying.

No body was hurt in the incident though some windowpanes of the airport tower were shattered due to the explosion. Locals said that they also heard exchanges of fire for sometimes.

There were about two dozens policemen guarding the airport. This is the third times in the district of Mt. Everest that the rebels have attacked the government facilities, including in Salleri, the district headquarters. The police said that all the scheduled flights to and from the airport were suspended on Monday to remove the unexploded socket bombs scattered along the airstrip. Earlier, the rebels had destroyed the Phaplu airport forcing all the flights to suspend for over a month.

Meanwhile, a bomb-disposal squad of the Royal Nepal Army on Monday defused a "banner bomb" hung on a tree by the rebels in Bandipur bazaar, the former district headquarters of Tanahun. The security personnel asked the locals to close their shutters for half an hour before defusing the bomb for security reasons.

The Home Ministry said that 43 Maoists surrendered to authorities from eight districts on Monday.

Tripathi welcomes Cabinet decision over madrasas

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KATHMANDU, Feb 4: Hridyesh Tripathi, Central Committee member of the Nepal Sadbhavana Party (NSP) today welcomed the Cabinet decision to change the registration procedure of the madrasas(Islamic school) and Private schools.

"It was really necessary to regulate the mushrooming growth of the madrasas and private schools," said Tripathi talking to The Kathmandu Post.

He added, "To ensure the transparency in their functioning, the decision was necessary. I welcome the move by the government."

He also said that this decision should be implemented soon. "This decision will help in reducing the number of schools which have been playing with the future of the students."

According to the decision, madrasas will have to take the permission of the District Administration offices (DAOs) and henceforth they will be required to furnish their financial details to the administration.

The cabinet couple of days back took a decision to regulate private schools in accordance with provisions of the 7th amendment to the Education Bill, which is awaiting the Royal assent after being passed by the Parliament.

Ex-Gurkha drags UK Ministry to court

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KATHMANDU, Feb-4: Former Gurkha is taking the Ministry of Defence to an employment tribunal in a discrimination test case which could cost the UK Government millions, the BBC Web-site states Monday.

Lance Corporal Hari Thapa claims a monthly pension imbalance - just £58 against Army veterans’ £450 payment - amounts to racial discrimination.

He is demanding equal rights with British servicemen and £43,000 compensation for 15 years’ payments at the reduced rate.

Victory at the tribunal in Cardiff could spark a flood of claims from up to 30,000 Gurkhas and 6,000 widows.

One report put the potential bill to the government at up to £2bn.

A British passport holder stationed at Brecon, Mr Thapa from Cwmbran, south Wales, was angered by the MoD’s basic salary rate of £17.50 per month during service and the £58 pension after discharge in 1997.

He was recruited to the armed forces under a 1947 tripartite agreement between the UK, India and Nepal, which links Gurkhas’ pay and pensions to those in the Indian Army. But the MoD insists the payments are adequate because most Gurkhas retire back to Nepal, where the cost of living is considerably less than in the UK.

It is the latest case as the Ghurkas - a troop of which is currently peace-keeping in Afghanistan - continue to put the UK Government under pressure to pay up. Another tribunal in Suffolk, brought by an aggrieved former Gurkha lieutenant from Essex, is due to deliver its judgement soon.

Victory at the tribunal in Cardiff could spark a flood of claims from up to 30,000 Gurkhas and 6,000 widows. One report put the potential bill to the government at up to £2bn.

A British passport holder stationed at Brecon, Mr Thapa from Cwmbran, south Wales, was angered by the MoD’s basic salary rate of £17.50 per month during service and the £58 pension after discharge in 1997.

He was recruited to the armed forces under a 1947 tripartite agreement between the UK, India and Nepal, which links Gurkhas’ pay and pensions to those in the Indian Army.

But the MoD insists the payments are adequate because most Gurkhas retire back to Nepal, where the cost of living is considerably less than in the UK.

It is the latest case as the Ghurkas - a troop of which is currently peace-keeping in Afghanistan - continue to put the UK Government under pressure to pay up.

Another tribunal in Suffolk, brought by an aggrieved former Gurkha lieutenant from Essex, is due to deliver its judgement soon.

Mr Thapa, 38, told BBC Radio Wales: "I feel Gurkhas are treated as second class citizens.

"The Gurkhas have been here a long, long time as the best soldiers in the world."

He also alleges he received "second rate" medical treatment, a lower resettlement grant on discharge and worse tax benefits than those enjoyed by regular troops.

‘National Water Plan formulation in progress’

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KATHMANDU, Feb 4: Minister for Water Resources Bijay Kumar Gachchhedar today informed a meeting of hydropower experts and officials that formulation of the National Water Plan to implement the recently introduced Water Resources Strategy was in progress.

The Cabinet endorsed the 25-year strategy, which conjures up a prosperous Nepal by 2027, on January 9.

"Formulation of the National Water Plan to implement the strategy is in progress," he said, adding that the Plan will guide officials to develop water resources in a scientific and sustainable manner for economic development.

Officials involved in preparing the Plan say hope to ready it by 2003. He also said that the government had identified water resources sector as the key priority area for sustainable economic development.

He also informed that the government would be in a position to export some 100 megawatts (MW) or electricity (to India) in the months to come. He was referring to the 144-MW Kali Gandaki A hydel project which is scheduled to come online in March.

He also launched Nepal Hydropower Database at the one-day seminar, which saw officials and experts brainstorming over ways to develop water resources in the country. The seminar was jointly organized by Nepal Hydropower Association and International Hydropower Association.

Though Nepal is touted as a country rich in water resources, hardly 66 percent of the population have access to safe drinking water and less than 40 percent of the irrigable lands enjoy irrigation facility of a kind or another.

Experts calculate Nepal’s hydropower potential at over 83,000 megawatts and half of which is said to be economically feasible. However, less than one percent of the potential has been harnessed for electricity, which is accessible to 15 percent of the population.

Yet the hydro-electricity, with an average price tag of Rs 7.50 for a unit, is considered among the costliest in the world.