Bill on land reform enters secretariat

BY A STAFF REPORTER

Kathmandu, Aug. 31: The government registered the much-talked about Bill on Land (Fifth Amendment)-2058 B.S. at the Parliament Secretariat this afternoon to give a shape to the Prime Minister’s recent announcement on the revolutionary land reform.

The Bill has contained the same provisions of ceiling for landholding as decided by the Nepali Congress Central Working Committee meeting on Thursday.

According to the Bill, one family can hold 11 bighas (6.9 hectares) in the Terai, 30 ropanis (1.1 hectares) in the Kathmandu Valley and 75 ropanis (3.4 hectares) in the hills. They include one bigha in the Terai and five ropanis each in the Kathmandu Valley and in hills for homestead.

Meanwhile, the meeting of the House of the Representatives was again disrupted today over the government’s decision to put ceiling on the landholdings as a preliminary step to the land reform package. The House had started almost four hours late than the scheduled time.

The Rastriya Prajatantra Party (RPP) and Nepal Sadbhawana Party (NSP) obstructed today’s meeting demanding the ceiling on the property.

The agitated MPs of those parties moved to the well chanting slogans against the nouveau riche and the government’s decision to freeze the sale of land.

When the parliamentary session again failed to proceed with the disturbance Speaker Taranath Ranabhat announced the adjournment of the meeting until 1 PM Sunday.

In today’s meeting, Prime Minister Sher Bahadur Deuba was expected to make an important speech to justify the proposed land reform programme in the House of Representatives. But the address could not take place when even several hours long meeting with the RPP and NSP failed to persuade them for running the session. The two parties stuck to their demand of putting a ceiling to the property. They also threatened to that they would also obstruct the Prime Minister’s address if the House were run forcefully.

NSP MP Hridayash Tripathi said that the Prime Minister Deuba has invited them for talks at the PM’s residence in Baluwatar tomorrow morning.

Nation has lost great son: PM

Kathmandu, Aug. 30 (RSS): Prime Minister Sher Bahadur Deuba has said that the nation has lost a great son in the sorrowful demise of Dr. Dilli Raman Regmi, a senior politician, a famed historian and a peace loving leader.

In a message of condolences to the family and relatives of Dr. Regmi, the Prime Minister has wished for the eternal peace to the departed soul and added that at this hour when peace is indispensible, our responsibility is to fulfill his wishes for peace.

Meanwhile, president of the Rastriya Janamorcha Chitra Bahadur K.C. has expressed deep sorrow at the demise of senior politician Dr. Regmi who played a significant role in the democratic movement against the autocratic Rana regime.

Mr K.C. also extended heartfelt condolences to the members of the bereaved family.

In the same manner Nepal National Teachers Organisation (NNTO) has said that the untimely demise of freedom fighter Dr. Regmi has caused an irreparable loss to the nation.

During this hour of grief, NNTO has paid tributes to Dr. Regmi and extended heartfelt condolences to the members of the bereaved family.

Human Rights Organisation of Nepal (HURON) has expressed deep sorrow at the demise of senior leader of the non-violence democratic movement Dr. Regmi and prayed for eternal peace to the departed soul.

Expressing the confidence that the special contributions made by Dr. Regmi will be accorded high place in the history of Nepal, HURON said that the path of peace shown by Dr. Regmi will alway remain as guidelines for HURON.

HURON also extended heartfelt condolences to the members of the bereaved family.

Disabled to get ID cards within current fiscal year

Lalitpur, Aug. 30 (RSS): Officiating secretary at the Ministry of Women, Children and Social Welfare Krishna Prasad Sharma Bhandari inaugurated the 6th conference of C.B.R. National Network Nepal here Thursday.

Speaking at the function, Mr Bhandari informed that His Majesty's Government had constituted the disabled services national coordination committee and clearly defined the disabled persons.

He also disclosed that identity cards would be issued to the disabled living in every part of the country under current fiscal year.

The government will introduce a national social security policy, he said, expressing the view that HMG was serious at refining the existing laws pertaining to the disabled persons.

Lalitpur CDO Hiramani Sharma observed that the local bodies under HMG and non-governmental organisations should be spearheaded with mutual cordiality and cooperation.

Disabled Services National Coordination Committee Convenor Dr. Laxmi Narayan Prasad said since 90 per cent of the disabled live in the rural areas, there is in need of a village-oriented rehabilitation programme for the benefit of the disabled persons.

Chairman of Mentally Retarded Welfare Association Dr. Mahendra Prasad emphasised on the need for philanthropic organisations and families to assist the disabled in receiving employment opportunities while chairman of Nepal Blind Welfare Association Kamal Rupakheti pointed out the need for non-governmental organisation to extend financial as well as other assistance to the disabled persons.

Chairman of Nepal Disabled Association Surendra Bahadur Basnet noted that government assistance to philanthropic organisation is essential as the donor agency hesitates to extend cooperation to such organisations bereft of assistance from the government.

Chairman of National Disabled Federation Munishwar Pandey underlined the need of an awareness programme at the inaugural function chaired by coordinator of C.B.R. network Nepal Krishna Prasad Bhattarai.

The two-day conference will focus on the launching of community-based rehabilitation programme for the disabled, networking between various non-governmental organisations and the share experiences between the NGOs.

We are not against peace talks: Mahara

Nepalgunj, Aug. 30 (RSS): Krishna Bahadur Mahara, chief negotiator of CPN-Maoists made it clear that in the formal talks held between His Majesty's Government and CPN-Maoists on Thursday, none of the parties had come up with any written agenda but only expressed their viewpoints.

Speaking at a meet-the-press programme organised here today, Maoist leader Mahara said that no predictions of the outcome of the talks can be made at the moment.

We are ready to discuss all the issues during the talks, he added.

"We are not against the peace-talks," Mr Mahara said.

"Indications of a conspiracy being hatched to disrupt the talks are also seen," he said in reply to a query.

It is necessary to open the doors for changes during the talks, he added.

Intellectuals hail Govt-Maoist talks

Kathmandu, Aug. 31 (RSS): Intellectuals from various sectors of society have expressed the hope that the government-Maoist talks would be fruitful and a peaceful environment restored in the country.

The intellectuals have observed that the government-Maoist talks held yesterday have taken a positive turn towards resolving the problem arising in the country because of the Maoists.

These views were expressed at a seminar entitled "What does civic society say in connection with the government-Maoist talks?" organised by the People's Solidarity for Peace Campaign Committee here today.

Leftist leader Padma Ratna Tuladhar, who played the role of facilitator in the government-Maoist talks yesterday, said it is a matter of great happiness that both the government and the Maoists have expressed their determination to resolve all problems in the country through peaceful talks.

He expressed confidence that the problem that has emerged in the country today because of the Maoists would be resolved soon.

Vice-chancellor of Kathmandu University Dr. Suresh Raj Sharma, industrialist Padma Jyoti, social worker Angur Baba Joshi and litterateur Madan Mani Dixit expressed the hope that the Nepali people's wish for peace would be fulfilled with the success of the government-Maoist talks.

Convenor of the People's Solidarity for Peace Campaign Committee Sudip Pathak presided.

Meanwhile, central member of the Nepali Congress (NC) Krishna Prasad Sitaula inaugurated the seventh central convention of the Employees Union of Nepal Food Corporation (NFC) here today.

On the occasion, he said that the present NC government was active in finding a way to resolve the Maoists issue that has remained as a national problem and the government expected cooperation from one and all in this regard.

NC central member Sitaula said that the condition of the Food Corporation would improve if the employees themselves work seriously.

General secretary of the Nepal Trade Union Congress (NTUC) Pushkar Acharya alleged that the government was not serious over matters such as the facilities, rights and interests of the employees.

Messages from Prime Minister Sher Bahadur Deuba and NC president Girija Prasad Koirala wishing success to the convention were read out at the programme chaired by NFC employees union central president Shishir Kumar Jha.

NFC chairman Purnananda Sharma, vice-president Ambar Bahadur Basnet and a host of other speakers also expressed their views at the function.

'Need to make prevailing law scientific, transparant'

Biratnagar, Aug. 31 (RSS): Chief Judge of the Biratnagar Appellate Court Baliram Kumar inaugurated an interaction programme concerning the draft criminal code and criminal procedure code organised here today under the joint auspices of the Ministry of Law, Justice and Parliamentary Affairs and the United Nations Development Programme (UNDP).

Attending the two-day event are 30 persons including judges, legal practitioners, Chief District Officers (CDOs), police officers and heads of customs and internal revenue of various districts of the eastern region.

On the occasion, Chief Judge Kumar said that as there was no clarity in the law concerning crimes and punishment, it had become difficult to administer justice and pointed out the need to make the prevailing law scientific, transparent and efficient in keeping with the changing times.

Deputy Inspector General of Police Rajendra Bahadur Singh referred to difficulty in implementation of the principles of criminal justice because the police lacked necessary means and resources and expressed the view that matters not covered by the law had also to be covered to prevent anomalies, distortions and crime.

Chief Judge of Saptari district court Haribansha Tripathi, chief district officer of Morang Dolakha Bahadur Gurung, Kashi Nath Dahal of the judicial council and a host of other speakers also expressed their views at the programme.

Speaking from the chair, secretary at the Ministry of Law, Justice and Parliamentary Affairs Udaya Nepali Shrestha said that the seminar would prove fruitful in making criminal law procedure transparent and in tune with the changing times.

MICROECONOMIC ANALYSIS
Govt outlay accelerates, says NRB

BY A STAFF REPORTER

Kathmandu, Aug. 31: The fiscal year 2000/01 has been marked with a deceleration in both the monetary aggregates and the inflation rate. Government expenditure accelerated mainly due to a rise in both regular and development expenditures Higher budgetary deficit was recorded as a consequence of lower growth in resource mobilisation in comparison to expenditure growth. In the external sector, moderate growth of exports accompanied by a modest growth in imports has helped to narrow down the trade deficit and subsequently the current account deficit during the review year.

The foreign exchange holdings of the banking system rose substantially due to a surplus in the balance of payment emanating from the growth of official capital inflow. The resulting foreign

reserve was sufficient to cover merchandise imports of eleven months. In the share market, share transactions has grown compared to the previous month. In the money market, treasury bills rate remained at 4.96 per cent whereas the inter-bank rate stood at 4.50 per cent, according to a press release issued by Nepal Rastra Bank.

MONETARY SIDE

During the fiscal year 2000/01, broad money registered a decelerated growth of 14.9 per cent (Rs 27,692.6 million) amounting to Rs. 213,813.5 million compared to the growth of 21.8 per cent (Rs. 33,320.7 million) in the previous year. Asteep slowdown in the growth of net foreign assets compared to that of the previous year was attributed for such a slow growth of broad money. The downward revision in interest rates on deposits and expansion in resource mobilisation activities of non-bank financial institutions led to the slower growth of time deosits at banks from 23.0 per cent (Rs. 23,403.4 million) in the previous year to 14.7 per cent (Rs. 11,427.4 million) during the review year.

The growth of narrow money also decelerated to 15.2 per cent (Rs. 9,265.2 million) during the review year compared to a growth of 19.4 per cent (Rs. 9,917.3 milliion) in the previous year, it is said.

As a result of a sharp increase in the growth of credit flow to the government, total domestic credit of the banking system went up by 18.3 per cent (Rs. 28,969.5 million) during the review year compared to a growth of 17.2 per cent (Rs. 23,168.5 million) in the preceding year. As a result of a sluggish demand for import credit as well as that for industries, bank credit to the private sector decelerated from 20.5 per cent (Rs. 18,647.1 million) in the previous year to 16.8 per cent (Rs. 18,423.8 million) amounting to Rs 127,871.4 million in the review year, the press release says.

FISCAL FRONT

On the fiscal front, government expenditure increased by 20.0 per cent amounting to Rs 67,836.6 million during the review year compared to 11.4 per cent growth in the previous year. Of the total expenditure, regular expenditure increased by 22.6 per cent, development expenditure by 16.3 per cent and freeze expenditure increased by 10.8 per cent.

During the review year, both regular and development expenditures moved up compared to that of last year. Resource mobilisation marked a growth of 15.9 per cent during the review year compared to 9.2 per cent in the previous year. Revenue, the major government resource, grew at a decelarated rate of 13.9 per cent amounting to Rs. 48,861.2 million compared to a growth of 15.1 per cent in the previous year.

However, an impressive growth in foreign cash grants and non-budgetary income resultes in the higher growth in total resource mobilisation.

As a consequence of lower resource mobilisation compared to total government expenditure incurred, a budget deficit of Rs 14.945.3 million was recorded and this was 37.0 per cent higher than that of the previous year. To meet the resources gap, the government issued national saving certificates worth Rs. 2,100.0 million, development bonds worth Rs. 1,700.0 million, treasury bills worth Rs. 1,781.4 million and mobilised foreign cash loan amounting to Rs. 3,793.1 million. The remaining amount of Rs. 5,570.8 million was overdrawn from Nepal Rastra Bank.

PRICE INDEX

The National Urban Consumer Price Index, recorded an annual average rise of 2.4 per cent during the review year compared to a rise of 3.5 per cent in the previous year. A fall in the prices of food and beverages group helped to lower down the annual average inflation rate. Of the overall price index, the price index of food and beverages group declined by an annual average of 2.3 per cent in cntrast to 0.4 per cent increase in the preceding year. Despite an increase in the price of sugar and sugar products, spices, restaurant meals, milk and milk products, vegetables and fruits, meat, fish and eggs, pulses and beverages, the declining price of grains and cereals products as well as that of oil and ghee contributed for such a decrease in the annual average price index of food and beverages group. However, the annual average price index of non-food and services group increased from 7.1 per cent in the previous year to 8.1 per cent during the review year. This was mainly due to the rise in prices of education and recreation, housing, transport and communication, medicine and personal care, cloth, clothing and sewing services, tobacco as well as shoes. Regionwise, the annual average price index of Kathmandu, Hills and Terai increased by 3.2 per cent, 5.2 per cent and 1.1 per cent respectively.

FOREIGN TRADE

On the external front, exports registered a lower growth of 14.9 per cent to Rs. 57,244.7 million during the review year compared to a growth of 39.7 per cent in the previous year. During the review year, exports to India and third countries both have decelerated to 28.7 per cent and 4.7 per cent respectively compared to their respective growth rates of 69.3 per cent and 23.5 per cent in the previous year. Export of woolen carpets, readymade garments and jewellery to third countries declined whereas that of pashmina, tanned skin and pulses increased significantly. During the review year, Rs. 6.85 billion worth of pashmina was exported.

During the review year, imports grew by 4.5 per cent only amounting to Rs. 113,386.3 million as against a growth of 24.0 per cent in the preceding year. The import of vehicles and parts, textiles, thread, chemical fertiliser, teaching materials, petroleum products M.S. billet, M.S. wire rod and pesticides from India and petroleum products, betelnut, plastic granules, copper wire and sheet, computer parts, medicine, camera, black pepper, paraffin wax, P.V.C. compound, zin singot, steel sheet, medical equipments, paper, silver and palm oil from the third countries increased compared to that of the previous year.

During the review year, as the growth rate of exports remained higher than that of imports, trade, deficit declined by 4.3 per cent and remained at Rs. 56,141.6 million. Such a deficit had recorded a growth of 13.2 per cent in the previous year. The export-import ratio, which was 45.5 per cent in the previous year, improved to 50.5 per cent during the review year.

BALANCE OF PAYMENTS

Based on the available balance of payments statistics for the first ten months of the fiscal year 2000/01, the balance of payment remained favourable by Rs. 4.452.0 million. During the review year, inspite of a decline in net services income, current account deficit declined to Rs. 5,231.5 million due mainly to the decrease in trade deficit and an increase in current transfer receipt compared to that of the previous year.

However, a substantial inflow of official capital net helped the balance of payments to remain positive.

Based on the monetary statistics for the fiscal year 2000/01, the overall balance of payment recorded a surplus of Rs. 6,762.7 million as at mid-July 2001.

Foreign exchange holding of the banking system increased by 12.0 per cent to Rs 105,168.0 million.

Of the total reserve, 76.2 per cent accounted for convertible currency and 23.8 per cent for non convertible currency.

In the share market, market capitalisation of the companies listed in the stock exchange increased to Rs. 46.3 billion at mid-July 2001 from 43.8 billion in the previous month.

Likewise, NEPSE share price index moved up from 333.2 in the previous month to 348.4 at mid-July 2001.