KATHMANDU: The US Embassy in Kathmandu has clarified that there is no military component to the Millennium Challenge Corporation (MCC).
Posting ‘10 things about MCC compact’, the Embassy said there are no hidden clauses or strings attached the grant.
“MCC projects were selected by Nepal according to Nepali’s own priorities for economic development,” it stated.
Embassy officials said the statement was issued as fake news aiming to misinform people that the US Army will be deployed in Nepal once MCC is rectified have been circulating.
Here’s what the Embassy pointed about MCC:
- At the request of Nepal’s leaders, the U.S. government began working with Nepal in 2012 toward the development of an MCC compact.
- Each government and every Nepali political party, when in power, has expressed a desire to conclude an MCC Compact for economic development in Nepal.
- The MCC project is focused purely on economic development by helping to build power lines and improve roads.
- There is no military component to the MCC. In fact, U.S. law prohibits it.
- Nepal does not need to “join” or “sign up” for anything in order to participate in the MCC.
- The $500 million is a grant, with no strings attached, no interest rates, and no hidden clauses. All Nepal has to do is commit to spending the money, transparently, for the projects that have been agreed upon.
- Nepalis proposed and decided which projects MCC will fund in Nepal based on Nepal’s own priorities.
- MCC’s model requires Nepal to hire Nepalis to lead the implementation of the projects.
- MCC project tenders are open, transparent, and available to everyone.
- In Nepal, as in every country where MCC works, parliamentary ratification is required and provides transparency and an opportunity for Nepalis to understand the project.
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