Last week in Nepal was marked by significant events, including Prime Minister KP Sharma Oli’s return from the 79th United Nations General Assembly amid criticism for his delayed arrival amid devastating floods and landslides.
Foreign Minister Dr. Arzu Rana Deuba met with MCC CEO Alice P. Albright to discuss progress on the MCC project, while Nepal and the U.S. signed a Bilateral Consultation Mechanism agreement to enhance diplomatic dialogue.
The Kathmandu District Court granted bail to Durga Prasai, charged with cybercrime, and PM Oli briefed the CPN (UML) parliamentary party on his UNGA participation.
The World Bank projected Nepal’s economic growth to rise to 5.1% in FY 2025, and Nepal and India signed a B2B Framework Agreement for petroleum infrastructure development.
Meanwhile, Maoist Center Chairman Pushpa Kamal Dahal criticized the government’s inadequate response to the floods, calling for an investigation into the rescue efforts.
PM Oli returns from UNGA
Prime Minister KP Sharma Oli returned to Nepal on Monday after a 10-day visit to the United States, where he attended the 79th session of the United Nations General Assembly (UNGA) in New York.
His return was marred by increasing criticism due to his delayed arrival, coinciding with devastating floods and landslides that resulted in the tragic loss of 192 lives over the weekend.
During his time in New York, Oli led the Nepalese delegation, engaging in high-profile meetings and participating in discussions on global issues at the UNGA. Notably, he took part in the opening session of the general debate on September 24, alongside numerous world leaders.
MCC Project Review
Meanwhile, Foreign Minister Dr. Arzu Rana Deuba met with Alice P. Albright, the Chief Executive Officer of the Millennium Challenge Corporation (MCC), a U.S. agency, at the Nepali Embassy.
The focus of their discussion was on the enforcement of activities under the MCC project, which Nepal signed in 2017.
The officials emphasized the importance of timely completion of the project, which includes a $50 million assistance package for implementing a transmission line and road upgrades.
This meeting occurred just before Minister Rana’s departure for Doha, following her attendance at the UNGA.
Bilateral Consultation Mechanism Agreement
Nepal and the United States signed a significant agreement establishing a Bilateral Consultation Mechanism at the U.S. Department of State.
This agreement was signed by Foreign Minister Dr. Arzu Rana on behalf of Nepal and Acting Deputy Secretary of State for Political Affairs John Bass for the U.S.
The mechanism aims to facilitate ongoing consultations and discussions between high officials from Nepal’s Ministry of Foreign Affairs and the U.S. State Department.
Following the signing, the two nations discussed various mutual interests, strengthening their diplomatic ties.
Durga Prasai released on bail
In legal news, the Kathmandu District Court granted bail to Durga Prasai, the owner of B&C Medical College, on a bond of NRP 100,000. He was then released.
The court’s decision, issued by Judge Thakur Prasad Kharel, came after Prasai was arrested on charges of cybercrime for making a public statement that allegedly character assassinated Jwala Sangraula, a leader of the Rashtriya Swatantra Party.
PM briefs UML Parliamentary Party about his UNGA participation
Prime Minister Oli briefed the CPN (UML) parliamentary party on his participation in the UNGA. He described Nepal’s representation at the assembly as notably effective compared to previous years.
Oli shared details about his engagements, including meetings with various heads of state and government, emphasizing the significance of the experience-sharing programs he attended at prestigious institutions like Columbia University and Harvard University.
World Bank Economic Growth Forecast
The World Bank released its latest report projecting Nepal’s economic growth to accelerate to 5.1 percent in FY 2025, an increase from 3.9 percent in FY 2024.
This growth is expected to be driven by rising tourist arrivals, improved hydropower production, and better paddy yields.
The private sector is anticipated to play a crucial role in this growth, benefiting from easing monetary policies and regulatory requirements.
However, the report also highlighted several risks to this optimistic outlook, including vulnerabilities within the financial system, such as rising non-performing loans that could limit credit growth for the private sector.
Nepal-India Petroleum Infrastructure Agreement
In a notable development in regional cooperation, Nepal and India signed a B2B Framework Agreement for the development of petroleum infrastructure in Nepal.
The agreement was signed by Dr. Chandika Prasad Bhatta, Executive Director of Nepal Oil Corporation (NOC), and Senthil Kumar, Director of Indian Oil Corporation (IOC) Limited.
The signing ceremony was attended by key officials, including the Secretary of the Indian Petroleum and Natural Gas Ministry, Pankaj Jain.
The IOC described the agreement as a significant milestone in the energy partnership between India and Nepal.
Criticism of Government Flood Response
Lastly, Pushpa Kamal Dahal, Chairman of the Maoist Center, publicly criticized the government for its inadequate response to the recent floods and landslides, despite prior weather warnings.
He asserted that the state apparatus failed to act swiftly in rescue operations. Dahal called for a thorough investigation into the shortcomings of the response, emphasizing the need for a more organized approach to disaster management in the future.
After reviewing a report from the Natural Disaster and Disaster Management Department of the Maoist Center, which included an assessment of the affected areas, he stressed that such failures should not happen again.
Comment