News Notes (Spotlight Weekly)

RPP Welcomes The Royal Move

The Rastriya Prajatantra Party has welcomed the royal move saying that it was a positive step towards restoring peace and stability in the long term though it may create some confusion and uncertainty at present. Though unexpected, the king's move was a compulsive step felt to trigger long-term results. The party also called upon all the political parties to enter a common forum of national consensus to develop mutual understanding to bail out the nation from the current crisis. The party has also demanded for the free and fair elections to be held at the earliest. Compiled from reports Oct. 6.

India Advises Cooperation Between King, Parties

In what is seen as a significant move, the Government of India has expressed hope that the present crisis in Nepal will be resolved soon within the framework of constitutional processes, paving the way for elections at the earliest and installation of a democratically elected government in the interest of peace, stability and development in the Himalayan kingdom. A statement issued by the Indian embassy here Saturday said the Government of India saw the postponement of elections in Nepal as an unfortunate development but said the present crisis, the origins of which are well known, had been developing over some time. India has always believed that there are two pillars for stability in Nepal--multi party democracy and constitutional monarchy -- and both these pillars should remain strong. "Any interim arrangement should be based on consultation and consensus," the statement said. RSS reports Oct. 6.

Maoist Leader Condemns Royal Decision

A day after King Gyanendra sacked Prime Minister Sher Bahadur Deuba and put on hold the mid-term polls, a top leader of the underground CPN (Maoist) party has condemned the royal move. In a strong worded statement faxed to media organizations on Saturday, chairman of the CPN (Maoist) alleged that the King's latest decision was the final blow to the achievements of the people's movement of 1990. "It also marks the start of open feudal regression," Prachanda alias Pushpa Kamal Dahal said. Comrade Prachanda also noted that the royal proclamation did not mention any thing about what he said major issue of "civil war" within the country. He also appealed to ignore what he said the carrot dangled by the feudal elements. In his statement, Prachanda has neither mentioned anything about his future move nor has said if his party would reciprocate if the new interim government proposed cease fire with the rebel outfit. Compiled from reports Oct. 6.

ULF Criticizes The Royal Decision

United Left Front (ULF) Nepal, an umbrella organization representing five left parties not represented in the parliament, has held that the royal decision to dismiss the Deuba administration and put on hold the elections slated on November 13 this year has taken away the achievements of the people's movement of 1990. The statement issued Saturday said that the royal proclamation was "unconstitutional, undemocratic and regressive" and that the party would protest against it. "The King's latest move has only complicated the crisis further and enhanced the uncertainty prevailing in the country," the parties said. The ULF-Nepal held that the constitution of the kingdom of Nepal, 1990, has entrusted the state power and sovereignty on the people of Nepal and that only the parliament could unseat a prime minister. "The royal declaration has openly violated all these democratic provisions in the constitution," the ULF statement said. The statement was jointly signed by leaders of five left parties namely Prabhu Narayan Chaudhary of CPN (Marxist) and chairman of the ULF-Nepal, C. P. Mainali of the CPN (ML-Reorganized), Bishnu Bahadur Manandhar of CPN (United), Nanda Kumar Prasai of CPN (MLM) and Shyam Shrestha of Socialist Movement Nepal. Compiled from reports Oct. 6.

19 Districts Without Telephone Facility

Nearly one fourth or 19 out of 75 districts in the country don't have telephone connections with the rest of the country, or for that matter with the outside world, due to Maoist attacks, officials said. Addressing a meeting called by Remote Area Development Committee of the National Assembly, deputy general manager at the state-owned Nepal Telcommunications Corporation (NTC) Ratna Kaji Tuladhar said that the districts with no telecommunications facility at the moment included Bajhang, Darchula, Achham, Kalikot, Jajrkot, Rukum, Rolpa, Jumla, Gulmi, Arghakhanchi, Lamjung, Dhading, Rasuwa, Okhaldhunga, Khotang, Bajura, Solukhumbu, Dailekh and Humla. The Maoist insurgents have destroyed a total of 114 telecom towers so far and 8,000 telephone lines are out of operation, he said. Mr. Tuladhar said that NTC could install two telephone sets in each district headquarter using VSAT system. "But the private sector airlines have refused to transport the equipment -- to these districts as most of them don't have road connections-- citing security reasons," he said. Compiled from reports Oct. 4.

Private Company Deposits License Fee

Despite the on-going Maoist violence, joint venture companies have not shied away from making long-term investment in the Nepalese market. The latest example is the United Telecom Limited (UTL), an Indo-Nepal joint venture, that has deposited Rs 100 million as license fee at the Nepal Telecommunications Authority (NTA), a regulating agency. The Ministry of Information and Communications had set the license fee for operating the service for a period of ten years. The Company has also deposited Rs 2.2 million as frequency fee and additional Rs five million as guarantee to the concerned authorities. The UTL, a joint venture among Telecommunications Consultant India Limited (TCIL), Mahanagar Telecommunication Nigam Ltd. (MTNL), Videsh Sachar Nigam India Ltd. (VSNL) and Nepali partner Venture Nepal Pvt. Ltd., will have to launch its basic telephony services based on Wireless Local Loop (WLL) technology within nine months of getting license from the NTA. The process of awarding license to the new company will not take more than one week, officials said. Meanwhile, Ashok Agrawal, Nepali partner of the company, said that UTL aimed at distributing 25,000 lines of telephone in the first year of its operation. The consumers will not have to pay more than what they are paying for the state-owned monopoly, Nepal Telecommunications Corporation, so far to procure telephone services, he said. Kantipur Oct. 4.

Business Community Welcome Royal Move

The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has said the royal promulgation to the nation has been taken by the industry and business sector as an opportunity to be utilized in eliminating corruption in the country and promoting security and good-governance. The FNCCI wished that the government to be formed would be capable in eliminating corruption and restoring security and good-governance in the country, extending full support of the business community in this regard. A number of business organizations including Nepal Chamber of Commerce, Nepal Ready-made Garment Industries Associatiastra Bank, the central bank in the country, Hari Prasad Kaphle said that the government had decided to issue ten rupee plastic currency to mark the ascension of King Gyanendra last year. He said that the central bank has issued 50 million units of currency worth Rs. 500 million for public use. He said that polymer-made plastic currency was based relatively on a new technology and was introduced on a trial basis as it would last longer. Officials said the polymer-made banknotes would last four to five timeastra Bank, the central bank in the country, Hari Prasad Kaphle said that the government had decided to issue ten rupee plastic currency to mark the ascension of King Gyanendra last year. He said that the central bank has issued 50 million units of currency worth Rs. 500 million for public use. He said that polymer-made plastic currency was based relatively on a new technology and was introduced on a trial basis as it would last longer. Officials said the polymer-made banknotes would last four to five times longer than the paper-made notes. The polymer-made notes, however, will have to be protected from heat and fire. Kaphle said the government would introduce polymer notes of other denominations in future if it was found suitable to local weather and consumers liked it. Though coins came into circulation in Nepal several hundred years ago, the currency notes were first introduced here only 57. The polymer-made banknotes are in use in over 20 countries in the world. Compiled from reports Oct. 1.

Nepal Likely To Accede To WTO By 2003

A senior official has said that Nepal is likely to accede to the World Trade Organization (WTO) within the next year. Addressing an interaction on the theme "Nepal's accession to WTO: Private Sector Perspective," organized by the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Minister for Industry, Commerce and Supplies, Purna Bahadur Khadka, said that there had been very good response to Nepal's bid to join the WTO during the second Working Party meeting in Geneva during September 9-13. He said that more than 20 countries including India, China, US, Australia, Japan and Canada supported Nepal's proposal and said Nepal should become the first LDC member of the WTO. Out of 49 LDCS in the world, 30 LDCs automatically became members of the WTO after the transition of GATT (General Agreement on Trade and Tariff) into WTO. But after that no LDC has become its member. Minister Khadka said that Nepal's accession to WTO mainly depended on issues including tariff binding and opening up of the services sector including insurance, banking and legal services. President of FNCCI, Ravi Bhakta Shrestha, said it is in the interest of the government to enhance the competitive strength of the private sector," said Shrestha. "It is because industrialization will create jobs, raise income of the people and help resolve existing problems like Maoist insurgency." Compiled from reports Oct. 3.

Khetan Re-Elected NBCCI President

Rajendra Kumar Khetan, renowned industrialist, has been re-elected to the post of President of Nepal-Britain Chamber of Commerce and Industry (NBCCI) for the period of next three-years. The seventh annual general meeting of the NBCCI elected Khetan as its president recently. Addressing the AGM after being re-elected Khetan said there was a serious need to solve the political crises as they were severely hurting the countryís economy. He also said the government should give adequate attention in improving labor reform, revenue and local administration policies to realize the goal of national prosperity. Khetan had recently announced he would contest the now-suspended polls for the post of member of parliament. He had shown keen interest to contest the polls band voice issues close to economic development at the national parliament.