Kathmandu, Nepal, May 30, 2020: The ruling head Nepal Communist Party (NCP) has reached on the conclusion to halt all activities related to the Millennium Challenge Compact (MCC) until it gets endorse from the federal parliament.
The secretariat meeting of the MCC, the prime decision making boy of the NCP, held on Saturday at the Prime Minister's Official Residence in Baluwatar, made the decision to this effect. With the decision, not only the fate of the MCC and annual budget presented by the government for the upcoming fiscal year has jeopardized but also the row brewed within the NCP takes a nasty turn to lead the party towards the vertical split.
As the budget presented by the government inserted the provisions of the MCC, the dissident leaders of the party, who have vehemently been standing against of the MCC, had protested the government for attempting to enter the MCC through the window. The dissident leaders have challenged the government that they would not allow to endorse the budget from the federal parliament before deciding the fate of the MMC.
In the budget for the fiscal year 2020/21, the government has included the projects to be developed under the 500 million MCC grant although it is yet to be endorsed by the federal parliament.
All the activities under the MCA will be halted until party decide the fate of the MCC, NCP Spokesperson Narayan Kaji Shrestha told reporters while revealing the decision of the Secretariat meeting.
According to Shrestha, who is also standing against of the MCC, the next Secretariat meeting of the NCP will decide the fate of the MCC. However, the date of the next Secretariat meeting is not fixed yet.
With the decision, it is likely that process to endorse the budget from the parliament would be delayed further. As per the constitutional provision, the annual budget presented by the government has to be endorsed from the federal parliament with majority votes.
During the brief discussion with the media person NCP spokesperson Shrestha also said that the government will try to find an alternative way with regards to the MCC if it is not endorsed through parliament.
Following the vertical division over the issue of endorsing the MCC, the NCP had formed a committing under leadership of former Prime Minister Jhala Nath Khanal incorporating Bhim Bahadur Rawal and Pradeep Kumar Gyawali as its member.
The committee had already recommended the government and the party not to endorse the MCC until some provisions are corrected. In the meeting, Rawal and Gyawali including finance minister Yubraj Khatiwada were also invited.
