Nepal police fire tear gas, to disperse protest over US 'gift'

Nepal police fire tear gas and water cannon at hundreds who gathered on the streets to protest $500million US-funded infrastructure program over fears it will undermine Nepalese sovereignty

  • Nepal police fired tear gas and rubber bullets on Sunday as hundreds protested against a $500 million U.S.-funded infrastructure program 
  • Protesters on both sides were injured in the clashes 
  • Police arrested 77 protesters after they pelted stones and tried to push into the restricted area (near parliament),’ a police spokesman said
  • The Millennium Challenge Corporation (MCC), a U.S. government aid agency, agreed in 2017 to provide $500 million in grants to fund a 187 mile electricity transmission line and a road improvement project in Nepal   
  • U.S. Embassy in Nepal described the $500m MCC grant as ‘a gift from the American people and partnership between our nations that will bring jobs and infrastructure to Nepal and improve the lives of Nepalis’
  • Government officials said the grant will not have to be repaid and has no conditions attached But opponents say the agreement would undermine Nepal’s laws and sovereignty as lawmakers would have insufficient oversight of the board directing the infrastructure project 
  • Major political parties, including members of the ruling coalition, are split over whether to accept or reject the U.S. grant money
  • Nepal relies heavily on foreign aid, and donors coordinate development aid policy through the Nepal Development Forum, whose members include donor countries and international financial organizations

Nepal Police in Kathmandu fired tear gas, rubber bullets and a water cannon to disperse protesters opposed to a U.S. aid grant that was presented in parliament for ratification on Sunday. 

Hundreds of protesters tried to push through barbed wire barricades and pelted riot police with stones. Police beat them with bamboo batons, fired tear gas and water cannons, leaving injured on both sides. Police arrested 77 protesters Sunday.   

‘The protestors were arrested after they pelted stones and tried to push into the restricted area (near parliament),’ police spokesman Bishnu Kumar KC told AFP. 

The Millennium Challenge Corporation (MCC), a U.S. government aid agency, agreed in 2017 to provide $500 million in grants to fund a 187 mile electricity transmission line and a road improvement project in Nepal.

But the government is struggling to get parliament to ratify it by a February 28 deadline. 

Police in Kathmandu fired tear gas, rubber bullets and a water cannon to disperse protesters opposed to a U.S. aid grant that was presented in parliament for ratification on Sunday

Nepalese protesters clash with riot police during a protest against the proposed grant agreement from America in Nepal on Sunday

The Millennium Challenge Corporation (MCC), a U.S. government aid agency, agreed in 2017 to provide $500 million in grants to fund a 187 mile electricity transmission line and a road improvement project in Nepal

Opposition to the grant comes mainly from two Communist parties that are part of the coalition government who claim the conditions in the grant agreement will prevail over Nepal’s laws and threaten the country’s sovereignty

Major political parties, including members of the ruling coalition, are split over whether to accept or reject the U.S. grant money. Pictured: Nepalese protesters clash with riot police during a protest on Sunday

Government officials said the grant will not have to be repaid and has no conditions attached, but opponents say the agreement would undermine Nepal’s laws and sovereignty as lawmakers would have insufficient oversight of the board directing the infrastructure project.

Despite loud protests, the Minister for Communication and Information Technology Gyanendra Bahadur Karki put forward the agreement in parliament and said the projects would benefit 24 million of Nepal’s 30 million population. 

‘The grant will be an important tool for the socio-economic development of the country,’ Karki said in the parliament.

Major political parties, including members of the ruling coalition, are split over whether to accept or reject the U.S. grant money.

U.S. officials have spoken to Nepalese leaders recently to assure that the grant concerns only Nepal’s development. The money is meant to be used for the construction of power transmission lines and improvement of roads in the Himalayan nation.   

Inside Parliament on Sunday, government Minister Gyanendra Bahadur Karki presented the grant proposal while several lawmakers chanted slogans opposing the measure. 

A thick line of security personnel blocked the protesting members from approaching the minister.

The debate is expected to last several days before the grant agreement is put to a vote. The discussion was originally planned for last Wednesday but disagreements among political parties and clashes with police outside Parliament led to it being postponed.

Nepalese protesters opposing a proposed U.S. half billion dollars grant for Nepal clash with police outside as the parliament debates the contentious aid in Kathmandu, Nepal, on Sunday

A Nepalese protester opposing a proposed U.S. half billion dollars grant for Nepal throws stones at policemen during clashes outside the parliament in Kathmandu, Nepal, this week

The proposal was scheduled to be presented in the parliament Wednesday for approval but was postponed because of disagreement between the political parties

The U.S. Embassy in Nepal described the $500 million MCC grant as ‘a gift from the American people and a partnership between our nations that will bring jobs and infrastructure to Nepal and improve the lives of Nepalis.’

‘This project was requested by the Nepali government and the Nepali people and designed to transparently reduce poverty and grow the economy of Nepal,’ the embassy said in a statement issued late on Saturday.

‘Whether Nepali leaders ratify MCC is a decision for Nepal to make, as a sovereign democratic nation, and Nepal’s decision alone,’ it added.

Nepal relies heavily on foreign aid, and donors coordinate development aid policy through the Nepal Development Forum, whose members include donor countries and international financial organizations.  

Major opposition comes from Prime Minister Sher Bahadur Deuba’s own coalition partners including Maoist politicians — seen as traditionally close to China — who say it undermines Nepal’s sovereignty.  

Local media has reported that Chinese officials have lobbied Nepali politicians about their concerns, seeing the grant as a covert US push to increase Washington’s influence.

Indian daily the Hindustan Times reported on Tuesday that Washington believes that China is behind a disinformation campaign against the pact.  

‘Should outside influence and corruption cause parliament not to ratify, it would be deeply concerning for the US, and a loss for the people of Nepal,’ the paper quoted a US State Department spokesperson as saying.

Prakash Sharan Mahat, spokesperson of the ruling Nepali Congress party said that backtracking from the commitment will only erode Nepal’s credibility.

‘This grant is expected to help spur the economic growth in Nepal… We will continue to hold dialogue with other coalition partners as well as other political parties to mobilize their support to present the MCC Compact in the next session of the parliament,’ he said.

 The Millennium Challenge, created by the US Congress in 2004, offers large-scale grants to support economic growth and reduce poverty, according to Washington.  

Protesters are hit with water cannons as demonstrations escalated in Nepal on Sunday

Nepalese protesters clash with riot police don Sunday

Protesters clash continue to protest in Kathmandu, Nepal on Sunday 

Demonstrators hold signs Sunday protesting the Millennium Challenge Corporation (MCC), a U.S. government aid agency, who agreed in 2017 to provide $500 million in grants to fund a 187 mile electricity transmission line and a road improvement project in Nepal

Nepal relies heavily on foreign aid, and donors coordinate development aid policy through the Nepal Development Forum, whose members include donor countries and international financial organizations

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