Nepal on Thursday criticised India and the European Union (EU) for 'interfering in its internal affairs' and 'hurting the sentiments of its people'.

A day after India and the EU asked Nepal to find 'a lasting and inclusive constitutional settlement' in a joint press statement, the Ministry of Foreign Affairs (MoFA) asked them to respect 'the sovereign and democratic rights of the Nepalis' and 'refrain from making uncalled for statements'.

The statement read: "The government and people of Nepal are fully capable of resolving their issues themselves within the framework of the constitution."

In the joint statement, India and the EU said they agreed 'on the need for a lasting and inclusive constitutional settlement in Nepal that will address the remaining Constitutional issues in a time bound manner, and promote political stability and economic growth.' The joint statement was issued after India's Prime Minister Narendra Modi met the EU officials in Brussels on Wednesday.

Amidst the Indian blockade, Nepal had promised to readjust federal boundaries by setting up an all-party mechanism within three months. But the mechanism has not taken full shape, and Madhesi parties are threatening to step up protests.

Political analysts see the India-EU statement as a reminder that Nepal still needs to address Madhesi demands, but the MoF saw it as 'a breach of UN charter and norms of international law'.