Reinstatement of Sher Bahadur Deuba: What does it mean?

Karl-Heinz Krämer, South Asia Institute University of Heidelberg

After three and a half weeks without a functioning government, King Gyanendra has appointed Sher Bahadur Deuba as the new prime minister on June 2, 2004. This royal step means a revoke of his putsch of October 4, 2002 when he dismissed the then elected Deuba government without any constitutional backing (I have discussed this at length in my contribution to the Social Science Baha conference of April 2003).

Deuba’s reinstatement can be seen as a first royal admission that the step of October 4 was wrong and that King Gyanendra is willing to return to a democratic system of government. But it means everything else than that Nepal’s future is shining bright again. It is only a very first step, and it has come after great pressure from the people who have been demonstrating on the streets since April 1, from the donor countries of development aid, and from national and international human rights organizations that have vehemently criticized the way in which the royal system has been crushing oppositional opinions and critics.

One must also be aware of the fact that there has been no constitutional provision for the reinstatement of Deuba. The constitution of 1990 has been destroyed by the royal step of October 4, 2002. There is no parliament that could be reinstalled and legitimize the new Deuba government, since new elections would have fallen due in May 2004. One can only argue that King Gyanendra, in remembrance of article 127 of the 1990 constitution, has removed difficulties to lead the country back to the way of democracy and people’s sovereignty; and these difficulties had be caused by himself.

In recent weeks, the king has tried to participate the five political parties that have been the instigators of the street demonstrations in search of the new prime minister. Of course, their common candidate, if they had been able to nominate one, would have had no more legitimacy than Deuba. They could only have argued that they represent far more than half of the MPs of the 1999 House of Representatives. But this house is dissolved since May 2002 and its term has run out either. Besides, it has been one of the greatest shortcomings of the MPs since 1991 that they have missed to prove that they have been the representatives of the people. The lack of democratic structures within all parties and the corresponding exclusion of greater sections of society, corruption, nepotism and inconsiderate struggle for power have been the characteristic feature of party political leaders since 1990. The way in which the five demonstrating parties have now failed to nominate a common candidate have once again proved that their leaders have learnt nothing. How can these leaders claim to be the representatives of the people if they only think of themselves? It is in the same way an exaggerated self-assessment as in 1990 when they called the handful of mainly high cast males, that had been nominated by the party leaders to write the constitution, the representatives of the people.

So, Deuba’s reinstatement may be the smallest possible measure to revise the royal mistake of 2002. Power is back in the hand of that person from whom it had been taken away in an unconstitutional manor. This does not free Deuba from what I have just said on the party leaders in general. He is one of them, and he has in the same way been responsible for the many shortcomings and failures of democratization after 1990. On the contrary, he was the prime minister who disregarded the Maoist demands in January 1996, he was the prime minister who failed to lead the first dialogue with the Maoists to a success in 2002, he declared the state of emergency in November 2002 and mobilized the army, thus leading to the escalation of death figures, he was the prime minister who introduced the infamous Terrorist and Destructive Activities (Control and Punishment) Act (TADA), he was the prime minister who asked the king to dissolve parliament to save his premiership, and he was the prime minister who dissolved the elected local bodies and replaced them by government officials in July 2002.

So, the reinstatement should be used by Deuba to weed out his earlier mistakes. His tasks are manifold and difficult. He has to prove that the political parties can solve Nepal’s problems in a better way than an autocratic royal regime, and he is not allowed to fail. For this, he needs the all-out support of the other political parties. Those leaders who continue to put personal prejudices and ambitions higher than national welfare should be outed by the people.

The solution of the Maoist conflict and the restoration of people’s sovereignty by electing a new parliament and local bodies are the main tasks of the government. Both tasks are interrelated and their solution demands a great number of constitutional, legal, political and social changes. The party political leaders of the 1990s have not been willing or able to introduce such changes; the Maoist conflict has only been the most striking consequence of this failure because of its violent look. Elections are a condition for the restoration of people’s sovereignty and democracy, but they can only take place if the Maoists and the army stop their violence. The government must be open to Maoist demands that challenge the position of the traditional elites. The second round of peace talks in 2003 was doomed to failure because the Maoists main demand, that for an elected constitutional assembly, was supposed to put the interests of the traditional elites into danger with the institution of monarchy at its apex.

Padma Ratna Tuladhar has recently hinted that the Maoists may even drop this last fundamental demand. This means that chances for a renewed dialogue could be better than in 2003. But everybody should be aware that the discussion will not be about the Maoists accepting the status quo and entering the existing main stream of party politics. Nepal must use this chance and introduce fundamental changes that are necessary to prevent conflicts like the Maoist one in the future. A better general education and a more or less well formulated guarantee of fundamental rights by the constitution has contributed to a growing awareness among sections of society that are still non-included or disadvantaged. These changes must start in the mind and thinking of the elites that have to introduce them, and they must be reflected by the constitution and subordinate laws. Little has been done in this respect after 1990 so far.

Such changes will have to deal with the definition of the state, with the limitation and control of powers, including royal powers, with the control and command of the army that has to be in the hands of the democratically elected government and that has to be controlled by parliament, with the democratization of the structures and the organization of the political parties, with the organization and working style of the two houses of parliament. For example, it will be necessary to transform the National Assembly into an organ that represents all groups of society. The election system has also to be renovated. It cannot be called democratic if a party gains almost two thirds of the seats in parliament with only about one third of the votes; this is not representative democracy since two thirds do not want this party in government.

The exclusion of greater sections of society has been part of royal politics ever since Prithvinarayan Shah started to unite the country some 250 years ago. A sustainable solution of the ongoing conflict will not be possible without providing special advantages to deliberately non-participated sections of society, like women, Dalits, ethnic groups and Madheshi. Special regard will have to be laid to regions that have been more or less disregarded in the past. The languages and cultures of the different ethnic groups must get the same respect and value as the Nepali language and the culture of the currently ruling elites. The latter have to be broken up in every respect; ethnicity, gender or regional origin should not be of any importance for becoming a member of such elites.

These have only been a few arguments I have thrown into discussion. Politicians like to talk words they don’t mean. But talking without following actions is useless. Let’s hope that Sher Bahadur Deuba, the other party leaders, King Gyanendra as well as the Maoists finally wake up and avert further harm from this lovely country and her citizens.

Determination and Drive Discover Destinations; Common men and Women Build Nations

Govinda Neupane

In 1981, after completing primary level of schooling a boy of 14 years of age started his journey from Syanja to meet his brothers in Ludhiana and find out some work there. He did not think that he had been going to another country. So, quite innocently he left his home without any sense of difficulties. In his imagination, he smelt fragrances and saw roses all around. But the reality was different. Having no idea the way reaching Ludhiana by boarding a right train, he arrived in Delhi instead. He did not know Hindi and knew nothing the process of finding out a job. He was lost somewhere on the roads of all glittering Delhi. He started to ask for jobs, in Nepali language, to anybody who passes by. Several did not respond, but there was one Punjabi who showed interest on him. Perhaps, the Nepali cap on his head and the innocent looking face created some impact on the Sardarji. Hence, the boy reached to the Sardarji's household to work as a domestic help. He got IC (Indian Currency) 60 a month plus food and lodging facilities. During those initial days, he felt all alone and even he broke down with tears sometimes. He faced great difficulties crossing roads as there was bee-line of vehicles and he had no idea of zebra crossing. He shared his bitter experiences that while working as domestic help he had no sufficient food to satisfy his hunger. By their standard of eating, the family gave too much but by his need that was too little. Most of the Nepalese migrant workers who work as domestic help face this type of problem. He said that in the initial stage everyone has to struggle hard. After two months, he moved to Ludhiana as one of his brother came to take him knowing that he is in Delhi. He worked in Ludhiana as a domestic help changing 4 employers in one and a half year. Once again, he came back to Delhi and worked for one month with the same Punjabi family.

Madan Parajuli, the teenage boy, gained some work experiences and got some insights as he confronted with realities of life. The exposure crystallized his desire to get higher education. This realization took him back home in Syanja. Madan got admission in 8th grade. May be, his grown up physical stature and connections influenced the Headmaster to admit him to a higher grade. He continued his study and passed the test for appearing in the secondary level graduation examination. He could not pass the final examination that year. Leaving failure behind, he went to Mumbai to try out something different. He got a job in a factory where he worked for six months. Again, he decided to come to Delhi. He spent another 6 months here but he could not get a good job. Finally, he went back home and appeared in the examination again. After the examination, he again came to Delhi. This time, in 1984, he got a job in the Bank of Credit and Commerce International (BCCI) as an Orderly.

During the period covering 1984 to 1992, he got extended leave two times. He utilized these opportunities to try out for a job in Nepal. He worked there with Road Department for 6 months once and Forest Department for six months another time on daily wages basis. He was offered a job of a temporary teacher in a primary school. Although, he tried his best but could not get a permanent job there and came back to Delhi to continue the work with BCCI.

He knew that only better skills can help. So, he joined driving training, learnt the skill and also got driving license. He invested a lot of time and resources for this purpose. The burning desire for higher education haunted him all the time. He tried to continue his study. He got migration certificate from SLC Board and attempted to work in a book shop in Kanpur and start study once again. That did not materialize. He was highly discouraged knowing that he can not study further in Nepal as he had already obtained a migration certificate. But, when he contacted the Campus Chief in Waling he knew that the information was not true. So, he got admission there and passed Intermediate in humanities and social sciences from Tribhuvan University in 1991. Although, he was a regular student of the Campus in waling, he seldom attended the classes as he was working in those days in Delhi. He tried to continue the study further. Therefore, he applied in Delhi University but due to lack of cooperation from a university employee responsible for admission, he could not get in.

He worked with BCCI till it collapsed. After the collapse of the bank, he started to work as a part time Typist with a famous writer. She was one of the directors of BCCI in India and has authored several books. His inquisitiveness to learn typing while working with the bank opened for him the new avenue. He worked part time with the learned lady from 1992 to 2000 and also worked in another company side by side. In the new company, he saw the computer. When he got some opportunity, he tried to learn about it and was thrilled. With this thrill and determination in mind, he decided to purchase a computer. After fully knowing that better skill alone can provide him a space for competitive positioning, he purchased a second hand computer at IC 15000. That was too large amount for him. The generous lady author affectionately donated him IC 5000. This way, he started making himself computer literate and gained more skills. Finally, he attained the level of a self made Computer Operator. Now, there are 15 computers in the company and he supervises to ensure the quality output.

Madan started with a monthly salary of IC 60 plus food and lodging facility in his first job. He passed through several salary levels and now gets IC 8600. This is a big jump as such but he invested 23 years too. He could not help his family prior to 1992 as he had been getting insignificant amount of salary, that too he invested in enhancing his own capacity by getting education, by building skill in computer and getting skill as well as license for driving. After meeting the family needs, now, he has added some assets in the form of a plot of farm land (about one Bigha) in Bardia and a new house in Nawalparasi. In monitory term, these properties may have a value of four hundred thousand Indian Rupees.

He is happy that he could make some difference in the life of his family due to his inclination to learn technical skill. He also shared a bit frustration that he could not grow in the profession in later days. He feels some type of stagnation in the level of his skill and capacities. He also feels sorry for not going through a process of continuous of renewal.

Madan is politically neutral and socially responsible. The day brings him joy, happiness and satisfaction when he gets opportunity to help a Nepali, more particularly who is new to India. He continuously attempted to better prepare himself to occupy space in this highly competitive market. Sheer determination to educate himself, to acquire new skills and drive to go all out to attain the goals earned him the place where he is now. Now, he plans to go back home the same day when the situation there becomes a bit normal, and has a dream to start some type of income generating activity.

The boy at the age of 14 with primary level of schooling started his journey and after 23 years of struggle, he realized modest goals in his life. While attaining his goals, he contributed in nation building by preparing himself, by expanding opportunities for his family, by extending a hand of support to fellow Nepalese migrants, by remitting his savings home and by investing the money at his disposal in his beloved motherland. In reality, through such grassroots processes at micro level, several Madan Parajulis together have been building our nation. We have problems at macro level. There are parasites – the old thugs and a new creamy layer. The exploitative practices of these parasites and the socio-political and economic system they have designed have been pulling the nation down. Our society should pass through a surgical process to transform itself. The message is loud and clear - "get rid of these parasites, the common men and women shall build a dazzling Nepal."

IMF and Nepal

Prof. Bishwa Keshar Maskay

Financing of socio-economic development programs, strengthening of national financial institutions, mobilization of financial resources and management of monetary and fiscal policies for macro-economic and exchange rate stabilities, have been the daunting and challenging tasks for national governments in developing countries. In all these areas the IMF has been very active in assisting the developing counties. The IMF has been continuously pursuing its activities of promoting international monetary cooperation, facilitating the expansion and balanced growth of international trade; promoting exchange rate stability; assisting in the establishment of multilateral system of payments, and making its resources available to members experiencing balance of payments difficulties. Like other countries, Nepal has greatly benefited for such activities of IMF.

International Monetary Fund (IMF)'s contribution in maintaining global financial stability and balance has at times been a controversial issue. Certain voices for new financial architect as well as calls for regional and sub-regional arrangements for cooperation in monetary and exchange rate adjustments have been heard. Particularly, during the period of Asian economic crisis of the late 1990s, economies affected by the crisis, had voiced mixed feelings about IMF's role and the support. But it must be appreciated that the organization has stood up and has been providing valuable support and cooperation to developing countries, especially to LDCs like Nepal. It is very obvious that Nepal’s association with the IMF over a period of four decades, the Country has benefited in terms of both financial and technical assistance. Since 6 September 1961-the date of Nepal’s entry into the IMF-it has become a permanent partner of Nepal’s reform initiatives. IMF support in the form of SAF and ESAF during the decade of eighties and nineties facilitated Nepal to liberalize her economy with necessary financial adjustments. In addition to its support in the area of the monetary, exchange and balance of payments reform, Nepal had an opportunity to enter into the PRGF framework in late 2003. PRGF facility is expected to support the poverty reduction efforts of the country by maintaining macroeconomic stability, continuing financial sector reform and implementing structural reform. Nepal's efforts in the area of maintaining macroeconomic stability and financial sector reform are coming to some shape, but the structural reform aimed, at private sector-led growth remains a major challenge. Other reforms expected to improve the service delivery especially various public sector services remain ineffective. In addition to the problems relating to the poverty reduction, meeting basic needs in rural areas, and developing infrastructures still remain formidable challenges. The ongoing domestic conflict has posed additional challenge in meeting the millennium development goals as development and poverty reduction activities in rural areas are currently either slowed down or completely stopped. Such unwarranted state of situation does not benefit anyone, but causes immense difficulties for the poor and the downtrodden. This has tremendously affected our capacity in undertaking activities to meet the MDGs.

The national difficulties and constraints, have to be surmounted with collective national efforts. We must endeavor our best to meet the MDGs and relieve our people from poverty, destitution and degrading state of human living. In these efforts, national actions will remain the major factors and would determine the fate and fortune of Twenty-five million Nepalese people. In such national determination and efforts, the assistance from multi-lateral donor agencies such as IMF would expedite and tremendously facilitate our national endeavors. I am confident and highly optimistic that IMF would continue to provide technical and financial assistance to Nepal and further strengthen those cooperation, in our efforts towards financial sector reforms and maintenances of macro-economic stability, capacity building of institutions and in meeting MDGs for the economic betterment of Nepalese people.

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