<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101124/63720a149c7e80680e0b557fjpeg.jpg" alt="" width="1500" height="1000"/><figcaption>Photo: AMIT MACHAMASI</figcaption></figure>There is intense international diplomatic pressure for and against a <a href="https://www.nepalitimes.com/latest/missing-links-in-nepals-mcc-debate/" target="_blank" rel="noopener noreferrer">$500 million American project</a>, as Nepal’s main political players try to<a href="https://www.nepalitimes.com/here-now/maoists-backpedal-on-mcc-letter/" target="_blank" rel="noopener noreferrer"> strike backroom deals</a> ahead of the 28 February deadline for ratification of the compact by Parliament.This being Nepal, lawmakers will be expected to go late into the night to vote. And if they still need more time at the stroke of the midnight hour on Monday, 28 February, they might argue that there is another 12 hours before it is midnight in Washington DC.Whatever happens in the coming days, by playing political ping-pong with the MCC Nepal’s leaders have damaged <a href="https://www.nepalitimes.com/latest/nepal-in-political-and-geopolitical-jam/" target="_blank" rel="noopener noreferrer">Nepal’s international reputation</a> and have come across to both the Americans and the Chinese as being untrustworthy, prone to playing petty party politics to undermine the country’s own national interest.The MCC is a bilateral United States foreign aid agency established by Congress in 2004 to help improve the economies of under-developed countries that have democratic safeguards. Nepal was the only other South Asian country besides Sri Lanka to be offered the grant to ‘maintain road quality, increase the availability and reliability of electricity, and facilitate cross-border electricity trade between Nepal and India’.All agree that those things are needed. The problem has been that rivals of former prime minister K P Oli used his support for the MCC to bring him down, accusing him of selling out the country. It is no secret that <a href="https://www.nepalitimes.com/here-now/china-lobbying-against-mcc/" target="_blank" rel="noopener noreferrer">Beijing overtly opposed the American project </a>in Nepal, and has used the two Communist parties in the coalition government to reject it.The history of US aid to Nepal begins in the 1950s, and since then it has poured hundreds of millions of dollars into development projects, infrastructure and training. The MCC grant is a continuation of this involvement, and the reason it has become a <a href="https://www.nepalitimes.com/latest/the-deal-breaker/" target="_blank" rel="noopener noreferrer">political hot potato</a> now is because the compact needs Parliament ratification. Ironically, that clause was added because of chronic political instability in Nepal.With growing Sino-US polarity on the global stage, the MCC grant has brought Washington and Beijing on a collision course in Nepal. China is a geopolitical influencer in Kathmandu, and has always been wary of Western support for Tibetan nationalism. The Communist Party of China (CPC) has maintained fraternal relations with Nepal’s Communist parties, and wants them united to reject the MCC.Read also: <a href="https://www.nepalitimes.com/banner/high-tension-in-nepal/" target="_blank" rel="noopener noreferrer">High tension in Nepal</a>, Rabin GiriA fierce power struggle since the 2017 election resulted in a three-way split last year in the once-powerful Nepal Communist Party. Oli’s UML is now in the opposition, while the Maoist Centre led by Pushpa Kamal Dahal and Madhav Kumar Nepal’s Unified Socialists are members of a five-party governing coalition led by Prime Minister Sher Bahadur Deuba of the centre-right Nepali Congress (NC).Deuba has been a vocal supporter of the MCC. So was his predecessor Oli who now sees the project as a wedge to <a href="https://www.nepalitimes.com/latest/mcc-risks-split-in-nepals-ruling-coalition/" target="_blank" rel="noopener noreferrer">split the coalition</a> ahead of polls. It is an indication of just how high the stakes are that American Ambassador to Nepal Randy Berry met Oli on Tuesday, just weeks after the Chinese Ambassador Hou Yanqi also met him. The UML’s stance will be key to having the MCC passed, although the NC and smaller parties will have enough members for a simple majority if the Communist parties stay away.Democratic disarray in the US since 2016 and the rise of China have made Beijing more assertive in Nepal. China has been the largest source of foreign investment in Nepal for six consecutive years, it has provided large loans for Pokhara airport, and is negotiating another one for the Budi Gandaki dam. The Tibet Railway will arrive at Nepal’s northern border in Kerung by 2025, offering easier overland connectivity to the mainland.The MCC is seen by the Chinese as a direct challenge to its own <a href="https://www.nepalitimes.com/latest/china-builds-digital-and-medical-silk-roads/" target="_blank" rel="noopener noreferrer">Belt and Road Initiative</a> of which Nepal is a signatory. But many have warned that Nepal might fall into a ‘Chinese debt trap’ similar to the one that has now bankrupted Sri Lanka after it rejected the MCC in 2019.Nepal’s two Communist parties in the coalition contend that the compact is anti-national, allows American law to prevail over Nepal’s law, and lawmakers will have insufficient oversight over the MCC board. They have successfully mobilised the social web to spread fear among Nepalis of American imperialist ambitions to counter China. Following the chaotic withdrawal from Afghanistan and past American misadventures in the Gulf, many on Nepal’s cybersphere say the country could face similar instability with greater American engagement.If Parliament fails to ratify the MCC by the deadline, it could impact not just US-Nepal relations, but also undermine the country’s international credibility, dependence on multilateral agencies, and even Nepal’s peacekeeping operations for which the Americans pick up the tabs.US Assistant Secretary Donald Lu is said to have pointedly warned Nepali politicians in a call this month that Washington would "review its ties with Nepal" if an agreement is not reached, although the US Embassy later clarified that it was up to Nepal to take the grant or not.Read also: <a href="https://www.nepalitimes.com/opinion/to-be-or-not-to-be-on-the-mcc/" target="_blank" rel="noopener noreferrer">To be or not to be on the MCC</a>, Anil ShahThe most direct consequence of the project being cancelled will be in building a crucial 400kVa transmission line along the Kathmandu-Butwal corridor to evacuate the estimated 3,500MW of electricity that the country will be generating by 2025. Nepal will have to build the transmission line possibly with Chinese loans, which will mean greater cost and further delays.The elephant in the room in all this is India, which has kept out of the debate so far. But it is watching warily since New Delhi and Washington are allies, and yet Nepal's prevarication is a signal of bending towards Beijing. India is Nepal’s biggest trading partner by far, and it will be watching out for Chinese inroads into Nepal’s infrastructure if the MCC is rejected.On the other hand, if the MCC goes ahead it risks China's ire. On 23 February, Chinese Foreign Ministry spokesperson Hua Chunying said Beijing opposes "coercive diplomacy" by the United States in Nepal.Hua added: "How can a gift be sent by an ultimatum? Is it a gift or a Pandora's Box?"In MCC-related posts on the Sina Weibo platform's comments call the MCC a ‘US trap’ and ‘a form of occupation’. Some comments go even further, calling the US a ‘colonist power’. Another post said: ‘Nepal is close to China, that's why the US wants to come here."With geopolitics heating up, Nepal now finds itself caught between two powers like Vietnam vis-à-vis the East China Sea, or the Ukraine crisis. However, Mongolia is an example of a country that has successfully negotiated the MCC despite being squeezed between Washington, Beijing and Moscow. Mongolia is using its $350 million MCC grant for a water supply project in Ulaanbaatar.Whichever way it goes, the MCC will be a tipping point in Nepal’s domestic politics and will have a direct impact on three levels of elections this year.Read also: <a href="https://www.nepalitimes.com/editorial/the-message-is-the-medium-2/" target="_blank" rel="noopener noreferrer">The message is the medium</a>, EditorialHoang Chu is a student at Pitzer in Nepal in Claremont, the United States.

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It’s decision time

<img width="1050" height="700" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101120/637208f89c7e80680e0b5517jpeg.jpg" alt=""/>A civil society group has urged Nepal’s political parties to take action against <a href="https://www.nepalitimes.com/latest/nepal-speakers-ipu-trip-slammed/" target="_blank" rel="noopener noreferrer">House Speaker Agni Sapkota</a>, who they say has continuously violated the responsibilities and expectations vested in him as Speaker.A day after the statement, and right on cue, Sapkota for the second time postponed by a week a scheduled session of Parliament that for Wednesday, 9 February. The suspicion is that the speaker is trying to block the ratification by the House of the controversial American-supported <a href="https://www.nepalitimes.com/editorial/just-do-it/" target="_blank" rel="noopener noreferrer">Millennium Challenge Corporation</a> (MCC) project.The row has <a href="https://www.nepalitimes.com/latest/mcc-risks-split-in-nepals-ruling-coalition/">threatened to split the five-member ruling coalition</a>, with Prime Minister Sher Bahadur Deuba of the Nepali Congress and the Janata Samajbadi Party (JSP) supporting it while two Communist party members of the governing alliance opposing it.The Maoist Centre and the Unified Socialists fear that Deuba may team up with the opposition UML to pass the MCC automatically leading to a collapse of the coalition. The alliance is important to the two communist parties because they broke away last year from the NCP, and are not fully ready for <a href="https://www.nepalitimes.com/editorial/think-nationally-vote-locally/" target="_blank" rel="noopener noreferrer">elections</a> this year. Read also: <a href="https://www.nepalitimes.com/here-now/maoists-backpedal-on-mcc-letter/">Maoists backpedal on MCC letter</a>, Nepali Times <figure><img width="960" height="639" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101120/637208fb9c7e80680e0b5518jpeg.jpg" alt=""><figcaption>Anti-MCC protests at Maitighar Mandala and Parliament on Wednesday. Photos: MAIT MACHAMASI</figcaption></figure><img width="960" height="640" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101120/637208fd9c7e80680e0b5519jpeg.jpg" alt="">‘It is the institutional and legal duty of the Speaker to facilitate the placement of all bills presented by the government before the House,’ the civil society statement reads,  accusing Sapkota of holding up ratification for two years. Sapkota, a close confidante of Maoist Centre Chairman Pushpa Kamal Dahal,  has used the UML’s obstruction of Parliament as an excuse to postpone house sessions, effectively blocking parliamentary discussion of the $500 million American-supported project to<a href="https://www.nepalitimes.com/banner/own-goal/" target="_blank" rel="noopener noreferrer"> upgrade transmission lines and highways in Nepal</a>. Supporters of the Maoist Centre and the Unified Socialists on Wednesday staged a street rally outside Parliament in support of the speaker and against the MCC.  Disagreement within the governing coalition prompted Sapkota to postpone Wednesday’s parliament meeting, hours before it was set to begin, to 14 February. The US has said that the project needs to be ratified by parliament by 28 February, and the Chinese have been <a href="https://www.nepalitimes.com/here-now/china-lobbying-against-mcc/" target="_blank" rel="noopener noreferrer">lobbying actively against it</a> – adding a geopolitical element to the row.While Prime Minister Deuba backs the project, his alliance partners Pushpa Kamal Dahal of the Moaist Centre and Madhav Kumar Nepal of the Communist Party of Nepal (United Socialist) have been fiercely opposed to it.Read also: <a href="https://www.nepalitimes.com/latest/mcc-row-damages-nepals-credibility/" target="_blank" rel="noopener noreferrer">MCC row damages Nepal’s credibility</a>, Ramesh Kumar <img width="960" height="640" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101120/637209009c7e80680e0b551ajpeg.jpg" alt=""><img width="960" height="640" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101120/637209039c7e80680e0b551bjpeg.jpg" alt=""><img width="960" height="640" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114101120/637209059c7e80680e0b551cjpeg.jpg" alt="">The open letter from civil society notes that the Speaker has sought to evade the Constitution and relevant laws in order to exercise executive powers since the day of his appointment, even though Nepal’s parliamentary system does not grant such powers to the Speaker.“The main political parties must immediately take action on Agni Sapkota in order to protect the values and principles of the parliamentary system,” the statement reads.  Agni Sapkota was appointed Speaker in January 2020 even though he has been accused of <a href="https://archive.nepalitimes.com/article/editorial/state-of-impunity,2976" target="_blank" rel="noopener noreferrer">summary execution</a> during the conflict, with cases against him pending in Nepal’s Supreme Court.Sapkota was a central committee member and leader of the underground Communist Party of Nepal-Maoist (CPN-M) in Sindhupalchok during the armed insurgency and said to be involved in the April 2005 abduction and subsequent killing of civic leader Arjun Bahadur Lama from Kavre district.  Arjun Lama’s wife Purnimaya Lama is one of the signatories of the appeal.The district police had initially refused to register an FIR on the case, until a 2018 directive from the Supreme Court to the Kavre police to investigate the case and submit monthly reports. Read also: <a href="https://www.nepalitimes.com/latest/speechless/" target="_blank" rel="noopener noreferrer">Speechless</a>, Sewa BhattaraiThe open letter says the fact that Sapkota has continuously occupied high political positions makes it clear that the police have been intimidated while conducting investigation. “Influencing the police administration by virtue of his position of power … and by remaining an absconder on the murder case of Arjun Lama, Agni Sapkota is responsible for obstructing justice in the particular case and contributing to the general weakening of the law and justice system in the country,” the statement reads.The signatories of the appeal include Purnimaya Lama, Badri Prasad Bhusal, Bhagiram Chowdhary,  Indra Prasad Aryal, Kanak Mani Dixit,   Kedar Narshing KC, Maina Karki, Manamunishwar Acharya,  Rajan Kuikel, Sabitri Shrestha, Suman Adhikari,  Surya Bahadur Adhikari,  Sushil Pyakurel, and Yagya Raj Thapa.Read also: <a href="https://www.nepalitimes.com/latest/14-years-after-conflict-no-closure-in-nepal/">14 years after conflict, no closure in Nepal</a>, Nepali Times

Nepal House speaker embroiled in MCC row

<img width="2211" height="1541" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161152/636d1ea99c7e80680e0af421jpeg.jpg" alt=""/>A <a href="https://www.nepalitimes.com/banner/mcc-ball-in-nepals-court/" target="_blank" rel="noopener noreferrer">$500 million American grant</a> to upgrade Nepal’s infrastructure appears at first glance to be delayed because of domestic politics. But the real reason seems to be Beijing’s opposition to the project, and its pressure on politicians not to implement the project.Sources say the Chinese government has been showing unusual interest in the Millennium Challenge Corporation (MCC) project as Prime Minister Sher Bahadur Deuba prepares to present it for approval by the winter session of Parliament, <a href="https://www.nepalitimes.com/latest/mcc-row-rocks-nepals-ruling-coalition/" target="_blank" rel="noopener noreferrer">despite opposition from coalition partners</a>.On 22 December, Chinese Ambassador to Nepal Hou Yanqi made a hasty trip to the Balkot residence of former prime minister KP Oli of the opposition UML. <a href="https://www.nepalitimes.com/editorial/knowing-whats-good-for-nepal/" target="_blank" rel="noopener noreferrer">Oli and Deuba back the American project</a>, and some see this meeting of minds on the MCC even <a href="https://www.nepalitimes.com/editorial/just-do-it/" target="_blank" rel="noopener noreferrer">triggering a breakup of the governing coalition</a>.On 13 December, Vice Minister Chen Zhou of the International Department of the Communist Party of China (CPC) held a video conference with the newly-elected UML General Secretary Shankar Pokharel.Pokharel is said to have assured Zhou that his party would not allow activities that could damage Sino-Nepal relations. The UML’s Bishnu Rijal confirmed that Zhou’s call was about the MCC, but added ambiguously: “He must have had queries about development projects that China’s neighbouring country is undertaking.”<a href="https://www.nepalitimes.com/latest/missing-links-in-nepals-mcc-debate/">Missing links in Nepal’s MCC debate</a>, Jeevan R Sharma and David SeddonZhou had a similar chat with Madhav Kumar Nepal of the Unified Socialists who is also reported to have reiterated that he opposed anti-China activity in Nepal. Nepal has publicly stated he would reject the MCC if it could affect ties with neighbouring countries. CPC officials also held virtual meetings with Pushpa Kamal Dahal of the Maoist Centre, who has not hidden his opposition to the MCC.A government official, speaking on condition of anonymity, said: “There is no doubt that China does not want the MCC to go ahead, it has already conveyed as much to the top political leadership.”Speaker Agni Prasad Sapkota of the Maoist Centre, who is close to Beijing, has said the MCC would not move forward under his watch. His predecessor Krishna Bahadur Mahara publicly admitted to stopping MCC ratification because it was anti-Chinese.“China has already sent the message that it will not sit idly if the development activities in Nepal undermine its interests here,” Nepal’s former ambassador in Beijing Mahendra Bahadur Pandey told Nepali Times. “China has been concerned about the MCC from the very beginning, and views it with suspicion.”<a href="https://www.nepalitimes.com/latest/mcc-damned-if-we-do-damned-if-we-dont/">MCC: damned if we do, damned if we don’t</a>, Nepali TimesChina’s objection to the MCC is most noticeably expressed through op-eds. Wang Yiwei, a professor of international relations at the Renmin University, in one interview with <a href="http://nepalkhabar.com/" target="_blank" rel="noopener noreferrer" data-saferedirecturl="https://www.google.com/url?q=http://nepalkhabar.com&amp;source=gmail&amp;ust=1640329948769000&amp;usg=AOvVaw1-5zGkO7r9layvLRxbBfav">nepalkhabar.com</a> last October called the MCC ‘an American ploy’.Diplomatic affairs expert Geja Sharma Wagle says that besides the Americans, Nepal needs to balance the interests of its neighbours India and China as well. He says, “It is in Nepal’s best interest to implement both the American MCC and Chinese BRI projects based on our national needs.”Many analysts see the MCC as America’s response to <a href="https://www.nepalitimes.com/latest/bri-and-trans-himalayan-connectivity/" target="_blank" rel="noopener noreferrer">Beijing Belt-Road Initiative (BRI) </a>which promotes connectivity and infrastructure in order to benefit China’s influence and trade in the region.Apart from Dahal’s CPN (Maoist Centre) and Nepal’s CPN (Unified Socialist), other coalition members Janata Samajwadi Party and Rastriya Janamorcha are also against the American grant. Even the Hindu-Right Rastriya Prajatantra Party recently spoke against it. Deuba called an all-party meeting this week to discuss the MCC, but Oli did not show up. Representatives of other parties reiterated their opposition to the compact in its present form. Jhala Nath Khanal of Unified Socialists was once more named to a committee to further study the MCC agreement.Dahal and Nepal used KP Oli’s support for the MCC against him in a<a href="https://www.nepalitimes.com/latest/mcc-row-damages-nepals-credibility/" target="_blank" rel="noopener noreferrer"> bitter power struggle</a> that did not just split the Nepal Communist Party, but also the UML. They were so successful in generating public opinion against the MCC, saying it was an American strategy against China, that they find it difficult to back it now, especially with <a href="https://www.nepalitimes.com/here-now/all-eyes-on-2023/" target="_blank" rel="noopener noreferrer">elections a year away</a>.  Dahal is also concerned about his Maoist Centre general convention.At the height of political infighting last year, Chinese Ambassador Hou Yanqi lobbied unsuccessfully to keep Nepal’s communists united. Now that KP Oli is in the opposition, he is not as openly pro-MCC, but sees it as a weapon to get back at Deuba and Dahal by splitting their coalition — even if it means forging an alliance with the NC.Nepal signed the MCC agreement in Washington in 2017 when Deuba led a similar NC-Maoist coalition. The US has repeatedly said that the project is a grant that Nepal qualified for, and has no strings attached. MCC Vice President Fatima Sumar and US Deputy Secretary of State Donald Lu <a href="https://www.nepalitimes.com/latest/nepal-stuck-between-rock-and-hard-place/" target="_blank" rel="noopener noreferrer">visited Nepal recently</a>, and reportedly gave Deuba an ultimatum to have Parliament ratification by the end of this year. <img width="1142" height="868" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161152/636d1eac9c7e80680e0af422jpeg.jpg" alt="">Experts say the MCC is important to expand Nepal’s power grid into the future with 400kVA transmission lines that can also allow Nepal to export more surplus electricity to India. Nepal will be generating 4,500MW of hydroelectricity in the next three years, and over 12,000MW by 2030, and much of it risks being wasted if it cannot be supplied to load centres. In monetary terms, Nepal’s <a href="https://www.nepalitimes.com/banner/nepals-precious-electricity-going-waste/" target="_blank" rel="noopener noreferrer">power producers could lose</a> at least Rs142 billion annually. Which is why energy experts say Nepal should start work immediately on transmission lines even if the MCC does not go ahead.Although most of the $500 million project is for upgrading transmission lines, it will also improve highway connectivity in central Nepal to <a href="https://www.nepalitimes.com/latest/generating-electricity-and-cash-for-nepalis/" target="_blank" rel="noopener noreferrer">boost economic growth</a>.  Read also: <a href="https://www.nepalitimes.com/latest/the-cost-of-no-mcc/">The cost of no MCC</a>, Nepali Times

China lobbying against MCC

The monsoon has got bad press because Nepal’s tourism operators actively told visitors to avoid <a href="https://nepalitimes.com/opinion/managing-the-monsoon?%2F">the rainy season</a>. It is time to change that. The reason can be found right here in the vast alpine meadows of Central Nepal where this time of year you can walk on velvet grass of pastures abloom with delicate pink, red and yellow flowers as the mist rolls up the valley. There is no sound except the hum of bumble bees. &nbsp;&nbsp; There are dozens of places across high Nepal called Chaurikharka, which means yak pasture. But this particular Chaurikharka in Rukum East located at an altitude of 4,000m stands out for its serene beauty, rustic charm and bucolic setting. There is just the occasional chime of <a href="https://nepalitimes.com/here-now/when-yaks-go-so-does-culture">yak bells</a> in the distance, and the sharp whistle of herders corralling sheep. &nbsp;&nbsp; The grass shoots are so fragile that one hesitates to step on them, the rounded ridges appear and quickly vanish in waves of mist. With the<a href="https://nepalitimes.com/here-now/before-the-next-monsoon"> arrival of monsoon</a>, these meadows are a soothing shade of green dotted with millions of <a href="https://nepalitimes.com/review/the-anatomy-of-a-flower?%2F=">multi-coloured flowers</a>. Until very recently, it took a week or so to hike up to places like Chaurikharka, but with the expansion of the road network even to these far-flung mountains in the lap of Dhaulagiri, they are much more accessible. It is just a three-hour uphill from the Mid-Hill Highway on the border between Baglung and Rukum East.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250802130828_a0b06b494d751b2144ffbbf10894ea64b29e8aed844bc8c66171783abfaf4e16.jpg" data-media-id="editor_4" data-image-id="20250802130828_a0b06b494d751b2144ffbbf10894ea64b29e8aed844bc8c66171783abfaf4e16" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Visit Nepal in the monsoon"> </figure>  Purists would say that such easy access devalues the sanctity of these remote high meadows, but it also means more people will be moved to treasure the experience, appreciate <a href="https://nepalitimes.com/banner/natures-fragile-gift-to-nepal">the value of nature </a>so they can take steps to protect it.&nbsp; To be sure, the <a href="https://nepalitimes.com/here-now/deadly-monsoon-in-nepal-turns-deadlier">monsoon season can be challenging for road travel</a>. The roads are rough even at the best of times, and in the monsoon they become muddy and treacherous, often blocked by<a href="https://nepalitimes.com/news/monsoon-deluge-in-nepal"> landslides</a>. But that could be precisely the kind of adventure that the more intrepid visitors crave. Improved road connectivity has already made Chaurikharka and places like Badimallika &nbsp;and other sacred lakes in the mountains of western Nepal popular with domestic tourists. What is driving this traffic is the urge to go to exotic new places and share videos and selfies on social media. Several of Nepal’s travel vloggers have visited Chaurikharka and popularised the place, enticing followers on TikTok or YouTube to retrace their footsteps. But even as they become more popular, these fragile and once-remote places should be protected from over-tourism.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110736_f97110b7cdc3e7f80d5877690948fc9f4c95a09c583deb23b07355491e6c5446.jpg" data-media-id="editor_8" data-image-id="20250731110736_f97110b7cdc3e7f80d5877690948fc9f4c95a09c583deb23b07355491e6c5446" data-rendition-name="original" width="1083" height="699" loading="lazy" alt="Visit Nepal in the monsoon NT"> </figure>  <h2>INCREASING FOOTFALL</h2> Chaurikharka is located in Bhume Rural Municipality of East Rukum, near the scenic valley of Dhorpatan in Baglung district. Even in the <a href="https://nepalitimes.com/banner/monsoon-culture">middle of the monsoon</a>, there is a steady stream of Nepali hikers trooping to these high pastures – especially during festival days like Saune Sankranti which this year was on 17 July and actually marks the auspicious beginning of the monsoon here. “This year the rains have not been as heavy and there have been some clear mornings when we could see everything from Dhaulagiri to Machapuchre,” says Khageswar Bhandari, who trekked up here from the road. “The flowers, the greenery and the snowy mountain views make this an incredibly unique place.”&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250802130824_1b9e26f2e9853fdfe69154bb42a7c9ea6da4bf4940efc1da99b304dcfbd7d3d9.jpg" data-media-id="editor_10" data-image-id="20250802130824_1b9e26f2e9853fdfe69154bb42a7c9ea6da4bf4940efc1da99b304dcfbd7d3d9" data-rendition-name="original" width="2048" height="1152" loading="lazy" alt="Visit Nepal in the monsoon"> </figure>  Chaurikharka is worthwhile to get to in any season, but it has a different charm during the monsoon. Word has spread and because it is now easy to get to from Baglung or even Pokhara, people have been flocking here.&nbsp; “Holidays and Saturdays see the largest crowds, with up to 500 visitors every day,” says ward chair Mankaji Pun of Bhume.&nbsp; There was a time not too long ago when local herders brought sheep, goats, cows, buffaloes, horses, and mules to graze here during the monsoon. Although there are still livestock around, animals have been replaced by visitors taking selfies. Read also: <a href="https://nepalitimes.com/here-now/the-monsoon-and-nature-s-arithmetic">The monsoon, and nature’s arithmetic</a>, Tom Robertson Ward Chair Pun says infrastructure development is his main priority. A foot trail to Chaurikharka was built last year by the Tourism Division Office in Kohalpur, but access via the Raniwas-Koipa road section still remains challenging.&nbsp; “If we get more budget, we can improve the road and facilities to make Chaurikharka the main tourist attraction of this region,” says Bhume Municipality Chair Hom Prakash Shrestha. “After that, we hope to promote Chaurikharka as a top tourist spot.”&nbsp; Economic activity is also picking up with the arrival of visitors, but there seems to be a need to manage the makeshift sheds made of corrugated sheets that spoil the beauty of the place. Tea shops and lodges are also available but facilities are basic. Kuldeep Neupane took a three-day trip from Ghorahi in Dang to visit Chaurikharka recently, and says: “This is an ideal trip to make a quick getaway and let nature recharge your mind and body. And it is much more fun with a tent, to watch the sunrise over the Himalaya or the mist blowing in.”

Visit Nepal in the monsoon

Two weeks ago, Prime Minister KP Sharma Oli announced jubilantly on social media that Nepal had achieved a historic annual growth of 81.8% in exports. He was right. Nepal’s trade did take a great leap forward compared to last year. But the dramatic rise was mainly due to processed soya bean oil.&nbsp; However, Nepal does not produce the edible oil it exports. In fact, the soya and palm oil that make up 44% of total exports are imported from Southeast Asia and South America, and simply re-exported, mostly to India.&nbsp; Under the SAFTA (South Asian Free Trade Area) Agreement, Nepal can export products to India duty-free if it has at least 30% value-added. Nepal’s traders have taken advantage of SAFTA even though the edible oils they export do not reach that value addition threshold. “The 30% value addition requirement is often only on paper,” says former commerce secretary Purushottam Ojha. “It is clear that simply packaging edible oils in Nepal does not fulfil the terms of the trade agreement.” Prime Minister Oli is aware of this, and even called Nepal’s export figures “fake” at an earlier event. The government is relying on other iffy figures to suggest that Nepal’s economy is strong and getting stronger. For example, the value of imports rose by 13.25% in 2024-25 compared to the previous fiscal year.&nbsp; Some of it was due to a jump in electric vehicle imports worth Rs 31.76 billion, but mostly it was because more wholesale soya oil was imported to be re-packaged and sold in India. The very fact that the government boasts about increased imports is an indication of how much it relies on taxing them for revenue. Touting such trade figures cannot be the basis to claim an economic rebound.&nbsp; “A jump in the value of imports can be interpreted as an increase in purchasing power, but it is not evidence of a stronger economy,” says economist Keshav Acharya. “Even though imports have increased, Nepal's domestic production and productive capacity have not improved.” Nepal Rastra Bank's semi-annual economic activity study report shows that industrial production was down in the first six months of the last fiscal year. This despite an increase in the number of new industries registered and investment commitments. Out of the Rs70.2 billion proposed foreign investment, Nepal received only Rs17.9 billion last year.&nbsp; Meanwhile, the rate of capital formation was limited to 24% last year, which is lower than the year before, suggesting that new investment, job creation and economic expansion all declined. If domestic production does not improve in relation to this year’s inflated trade figures, the outflow will put pressure on foreign exchange reserves like it did three years ago. At that time, Nepal borrowed from the IMF under its Extended Credit Facility Program to kickstart the economy.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025080710084_2cdaaa5795828c4a7de93a0604ba884ef0a8b8f24cccd939f6c24e279ab6058f.jpg" data-media-id="editor_0" data-image-id="2025080710084_2cdaaa5795828c4a7de93a0604ba884ef0a8b8f24cccd939f6c24e279ab6058f" data-rendition-name="original" width="1633" height="723" loading="lazy" alt="Nepal's bubble economy NT"> <figcaption>Source: NEPAL RASTRA BANK</figcaption> </figure>  The macroeconomy is on firm footing with foreign exchange reserves at a comfortable Rs2,520 billion in May, up 23% from last year. This was largely due to remittances, and partly due to a falling NPR exchange rate. Real estate transactions and the stock market index have also been climbing as a result of government policies to revive the sector.&nbsp; However, former executive director of Nepal Rastra Bank Nar Bahadur Thapa cautions: “This is not organic growth, it is the result of deliberate policy decisions to relax rules on real estate and stock markets transactions.” In reality, the sharp rise in land prices have increased the cost of production, and excessive monetisation of the real estate has become the main source of Nepal’s economic woes. The central bank has announced a slew of new policies, shifting the terms of loan repayment for industrialists and entrepreneurs, reducing interest rates, and injecting more working capital — all designed to inject adrenaline into the real estate and stock market sectors.&nbsp; When he was governor, Mahaprasad Adhikari made several financial reforms during the latter half of his tenure to stimulate the economy, including tightening credit flow.&nbsp; By the last fiscal year, additional financial reforms had resulted in a credit expansion rate of around 8%. As the pace of credit expansion slows, real estate prices have started to fall. This is actually beneficial to the economy, because it lays the foundation for improvements in land-related entrepreneurship, production, and the construction sector. Just because real estate and the stock market transactions increase, it does not indicate an economic turnaround — especially when manufacturing and productive sector continues to languish.&nbsp; “It is foolish to believe that real estate and the stock market have magically revived our economy. Agriculture employs more than half of the population, but it is in decline. Investment in the productive sector has not increased, and job creation has not increased.” Two years ago, Nepal’s industrialists, business leaders, and political leadership predicted a recession amidst a sluggish business, declining market demand, large-scale job loss, and a shrinking real estate and share market.&nbsp; Still, the economy grew by 3.36% in fiscal year 2023/24. In fact, Nepal’s economy has grown nominally over the last two decades even when all sectors of the economy are in decline.&nbsp; Says Keshav Acharya: “The growth in trade, real estate, and the stock market are bubbles. The real economy remains stagnant.”

Nepal’s bubble economy

The final investigation report on the crash of a Saurya Airlines jet on 24 July 2024 at Kathmandu airport has revealed flaws in the carrier’s technical operation procedures, poor monitoring by the Civil Aviation Authority of Nepal (CAAN) and gaps in the airport’s emergency response. Eighteen people including a child were killed, and only the captain survived as the plane plunged seconds after takeoff, crashing within the airport perimeter. This was the latest in a series of aircraft accidents in previous years, and further tarnished Nepal’s already poor aviation safety record and contributed to the country being retained in the EU’s air safety list. &nbsp;&nbsp;&nbsp; The circumstances in the Saurya crash were different from the Yeti Airlines crash in Pokhara in January 2022 that killed all 72 on board, and two Tara Air crashes in February 2016 and May 2022 on approach to Jomsom that together claimed 45 lives. However, all four tragedies were a result of negligence of carriers and crew, failure to follow procedures, regulatory slackness, and overconfidence. The Saurya crash, especially, was a glaring example of how an ailing airline broke its own rules to allow passengers, including non-employees, a joy ride to Pokhara on a maintenance ferry flight. CRASH REPORT The Final Investigation Report prepared by the Aircraft Accident Investigation Commission and released on the first anniversary of the crash last week carried a long list of rules that were ignored or broken, and of regulatory failure. The first mistake was to cram spares, tools and inflammable chemicals needed for the aircraft’s C-Check in Pokhara into the cargo hold flouting its own ground handling procedures.&nbsp; There was no check-in of passengers, some of whom were not even employees – even though regulations say only flight and maintenance crew should be on board a maintenance positioning flight. Many brought their own luggage into the plane and stored it unsecured in the cabin. There was no flight attendant to give a safety briefing to passengers. The load and trim charts given to the flight crew were rough estimates, and the total takeoff weight of the plane was 18,300kg plus or minus 200 kg. That would still have been all right, but there was a glaring mistake in the speedchart Saurya pilots were using to calculate the minimum takeoff speed (known as VR), and it had been wrong ever since the 21-year-old aircraft entered service with the airline in 2017. FAULTY DATA&nbsp; The Commission probed Flight Data Recorder inputs from previous takeoffs of the Canadian-built CRJ200-LR in 2023-2024 and found that the undetected error in the speedchart had caused the plane to pitch up at an abnormal rotation rate at least 18 times on previous takeoffs.&nbsp; Any rotation rate more than 3°/sec is regarded as unusual. But on at least two occasions, this aircraft with tail number 9N-AME had rotation rates of 5.8°/sec and 5.5°/sec, the second one was when the pilot who survived was flying in March 2024.&nbsp; On this particular day, the plane’s rotation rate was 6.5°/sec, causing it to go into a deep stall soon after takeoff, the Commission report said. Essentially, the plane was not flying fast enough down the runway to take off safely.&nbsp; It is not yet clear whether excess weight, unsecured luggage, wrong centre of gravity were also factors, but relying on a faulty speedchart for the given takeoff weight, the captain flying pulled back on the yoke before the plane had reached takeoff speed and at a pitch angle that was too steep. The investigation report says the plane then went into a deep stall and started banking right with the stick shaking. At this point, the flight officer on the right hand seat is heard on the cockpit voice recorder saying: “Whoa, whoa, whoa. Sir, Sir, Sir…” It then banked left before the pilot flying turned the plane sharply to the right again in an evasive action to avoid the parking aprons of the international and domestic terminals. Had he not done so, there would have been a disaster of a much greater magnitude at Kathmandu airport that day. The plane scraped the runway with its right wingtip, collided with a container having helicopter spare parts, and plunged into a gully east of the runway, exploding in a fireball. The investigation also noted that the impact forces seemed to be survivable for some occupants. The fire trucks took unnecessarily long to reach the site even though it was inside the airport perimeter. The absence of an ICAO-standard runway strip, inadequate rescue drills, lack of training, and a blocked emergency service gate leading to the crash site were cited as other factors. &nbsp;&nbsp; <h2>Timestamp of a Disaster</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110724_39cdd04693994ce6e55a5b302905c0fa4884fe85bed21ff0779bb1439f3a5725.jpg" data-media-id="editor_0" data-image-id="20250731110724_39cdd04693994ce6e55a5b302905c0fa4884fe85bed21ff0779bb1439f3a5725" data-rendition-name="original" width="778" height="826" loading="lazy" alt="Flouting rules caused Saurya tragedy NT"> </figure>  11:10:34 - The Saurya Airlines CRJ200 on the takeoff roll from runway 02. It had a takeoff weight of about 18,300kg, but the pilot’s speedcard had a previously undetected mistake about the minimum takeoff speed. 11:10:55 -The plane with tail number 9N-AME goes into deep stall soon after takeoff because it does not have enough speed to lift its weight. The plane also has an abnormally steep nose-up attitude.&nbsp; 11:11:03 - Without enough speed to generate lift, the plane banks right, then left and right again in CCTV photos taken from the domestic apron (below). If it had not banked right, it could have hit the aprons and terminal buildings. Seen parked is Saurya’s other CRJ200 with tail number 9N-ANM.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110732_608132f7225c649125cca2691dd6a6bf930984c5b359e888d7ad9e5eacce3afd.jpg" data-media-id="editor_1" data-image-id="20250731110732_608132f7225c649125cca2691dd6a6bf930984c5b359e888d7ad9e5eacce3afd" data-rendition-name="original" width="770" height="555" loading="lazy" alt="Flouting rules caused Saurya tragedy NT"> </figure>  11:11:08 - The plane scrapes the runway with its right wingtip, and falls into the gully. The captain is thrown off the left side of the cockpit and survives. 11:11:15: Plane explodes in a fireball inside the airport perimeter. Firefighters take time to reach the site because of lack of access road and a blocked gate. Read the full investigation report <a href="https://www.tourism.gov.np/files/9N-AME%20AIC%20Final%20Report.pdf">here</a>.

Flouting rules caused Saurya tragedy

American artist Peter Makela was in Nepal in 2022 on a Fulbright scholarship when he experienced the Matya festival in Patan in which devotees made the rounds of the city’s shrines.&nbsp;
He joined the procession, walking through 2,600 stupa and 140 bahal of the town. That immersion left a lasting impression.
As part of Gallery Mcube’s international residency program in Patan, he put his inspiration to canvas in the exhibition Yala Yatra: Walking, Working, Worshipping. The exhibition also coincides with this month’s Matya festival.&nbsp;
Makela has visited Nepal often in the past 11 years but he mostly stayed in and spent his time around Boudha. “This time I stayed in Patan, put the sites I wanted to visit on my map, and off I went,” he tells us. “Each of my artwork is inspired by the stupas and shrines in Patan that I visited.”
The stupa and Ganesh are recurring motifs in his watercolours, and the elephant gods are located in chaityas — reflecting the interplay and blending of the Hindu and Buddhist faiths in Kathmandu Valley.&nbsp;
The stupas and Ganesh are painted in vivid red, yellow, blue and green against abstract backgrounds meant to represent the sky.
“I use the sky as a backdrop because the sky has no border,” says Makela. “The four colours represent the four elements, the different Buddha families and also lights bouncing off of a rainbow.”
The use of just four colours for all the artwork stands out, and combined with the absence of heavy canvases, frames or stands render Makela’s art striking in its simplicity.&nbsp;
The Ganesh is always holding something and the art also portrays the elephant god’s sacred vehicle, the mouse.
While his vibrant stupas and Ganesh reflect the tangibility of Patan’s tradition and heritage, it is as if the backdrops with their shades of grey and red and yellow capture the soul of the city’s shrines.
“If you look closely, there is a sense of form and formlessness at the same time,” he says.&nbsp;
Makela walked 108 kora around the shrines during his exploration of the town, and in the process developed a spiritual connection with Patan’s heritage and traditions.&nbsp;
The exhibition connects with visitors on a deeper, more spiritual, level as well. And with it, they feel a sense of pride as well as the need to urgently preserve Patan’s heritage for future generations.
“Peter’s inclination and approach towards Nepali art and culture is fascinating, and it reflects in his work,” says Mcube curator Manish Lal Shrestha, whose international artist residency program promotes Nepal’s cultural heritage. &nbsp;&nbsp;
Yala Yatra: Walking, Working, Worshipping
1-5 August&nbsp;
10AM-7PM
Gallery Mcube, Patan