Ruling coalition divided over MCC

Disagreements have grown in the ruling coalition over the US aid project, the Millennium Challenge Corporation (MCC). Prime Minister and President of the Nepali Congress, Sher Bahadur Deuba, wants MCC to be approved by the parliament today, while the two parties, the CPN-Maoist Center and the Unified Socialists, are against it.

PM Deuba had call an all-party meeting on Sunday. At the beginning of the meeting of the ruling parties, he said that a meeting had been convened for the MCC and stressed on the need to move ahead immediately.

Chairman of the Unified Socialists Madhav Kumar Nepal said that the issue should be discussed. He said that the then Communist Party of Nepal (CPN) had formed the task force and some issues of MCC were unacceptable. "We need to talk to the United States about this," said the former prime minister.

Janata Samajwadi Party Chairman Upendra Yadav also said that the content of the agreement should be discussed whether it is under the Indo-Pacific strategy or not. According to a leader, UCPN (M) Central Committee Chairman Pushpa Kamal Dahal had a moderate opinion in the meeting. He was of the view that measures should be taken to address the issue while maintaining the alliance.

Jhalanath Khanal of the UCPN (Maoist) had said that there was a difference between the agreement signed by the then Finance Minister Gyanendra Bahadur Karki in 2017 and the one submitted by KP Sharma Oli in Parliament in 2019. He had questioned the Congress leaders as to why they were in a hurry before the election.

Former Prime Minister Khanal, Communications Minister Gyanendra Bahadur Karki and former Foreign Minister Shrestha have been tasked to note the points to be discussed in the MCC agreement after sharp differences between the ruling parties. As the meeting was coming to an end, Prime Minister Deuba pressured the three leaders to join the discussion today and reach a speedy conclusion.

An all-party meeting was held immediately after the meeting of the ruling parties, in which the main opposition CPN-UML was absent. At the meeting, Nepal Majdur Kisan Party leader Prem Suwal had said that the MCC agreement should be revoked. Representatives of the Rastiya Janamorcha have also said that it should not be tabled or passed. Rastriya Prajatantra Party vice-president Buddhiman Tamang said he could not support passing the MCC.

Leaders of the Janata Samajwadi Party, on the other hand, were divided, while leaders of the Maoist Center and the Unified Socialists said that the MCC agreement should be concluded only after a factual discussion.

At the end of the meeting, Minister for Communications Karki said that the Prime Minister had convened an all-party meeting to reach to a conclusion however he has expressed dissatisfaction that the leaders of the ruling party had spoken against the agreement reached some time ago after saying that whatever decision is taken will be taken in the parliament.

After the meeting, government spokesperson Minister Karki said that some political parties had expressed concerns over the MCC agreement and that all issues should be discussed and a conclusion reached soon.