US Assistant Secretary of State for South and Central Asia Affairs, Mr Donald Lu has called on top leaders of Nepal’s major political parties to take immediate action on the controversial Millennium Challenge Compact (MCC).
According to party sources, Mr Lu also warned that if Nepal fails to decide on MCC, it would mean that the US aid would be intervened by China.
The US$ 500 million US assistance project, the Millennium Challenge Compact (MCC) agreement, has long been under consideration in the House of Representatives.
For the last time, the Millennium Challenge Corporation wrote a letter to Prime Minister Sher Bahadur Deuba and Chairman of the ruling NCP (Maoist Center) Pushpa Kamal Dahal ‘Prachanda’ on February 6, giving a deadline of February 28 to decide on the MCC.
On 13 Ashoj, 2078 BS, PM Deuba and Prachanda sent a joint letter to the MCC asking for another 4/5 months to create an environment for MCC approval. But the ruling coalition has not been able to form a consensus on the MCC. Despite Prime Minister Deuba’s repeated efforts to move the MCC forward, the Maoist center and the Unified Socialists are not ready.
Nepali Congress President Deuba has sought the support of the main opposition CPN-UML. However, CPN UML has clarified that they will speak only after the decision of the ruling coalition.
Meanwhile, a meeting of the Nepali Congress on Thursday has also suggested to move forward with the MCC. Several leaders from the party has suggested even to break coalition, if necessary.
