Internal Developments:

Constitution Drafting:

1. The Process of Constitution drafting in Nepal continues to remain uncertain. The opposition parties are still in defiant mood and hence, no compromise formula has been yet worked out. At a meeting with the Prime Minister Sushil Kumar Koirala (March 30), Maoist leader, Pushpa Kamal Dahal, asked for a new proposal to make it easier for opposition parties to hold talks with the ruling parties. He maintained that the opposition parities were not ready to join talks under the previous terms and conditions. PM Koirala urged Dahal to withdraw the protest programmes declared by the opposition beginning, April 2, 2015 which Dahal declined adding that there was no basis for the opposition to withdraw its declared programmes.

2. However, UCPN (Maoist) – led alliance of 30 opposition parties has called off its agitation programmes slated prior to April 6 but the three- day general strike called for April 7-9 will not be withdrawn. The opposition front would also continue its boycott of the Constituent Assembly meeting summoned for April 6, unless the ruling parties commit to consensus based process to work out an agreed constitution. According to the revised protest programme, the alliance would hold an interaction programme on April 4, organize a torch rally on the evening of April 6 followed by general strikes on April 7-9

3. After the parties failed to find consensus on the contentious issues, a meeting of the Constituent Assembly has been called on April 6, the first since the Assembly was adjourned on February 12 to provide time for dialogue. The deadline then set by CA chairman Subas Nembang for the ruling and opposition parties to build consensus expired on March 30. The CA chairman has been under pressure from the ruling parties to convene the Assembly as soon as possible. Nembang clarified that if the parties failed to reach any understanding by April 6 mid-day, the assembly would proceed as per its regulations and established practices. When the CA resumes and proceeds with the majority process, the already frayed relationship between the ruling and opposition blocks is likely to worsen. The CA meet will start the voting process on the disputed issues on the basis of the report submitted by the Questionnaire Committee of the CA that has prepared 232 objective questions on eight issues.

NC’s Factional Rift Widens:

4. As the Nepali Congress prepares for its General Convention, rift between Koirala and Deuba factions has further widened over distribution of active memberships and the plan to amend the party’s statue to create additional posts of office bearers. Sher Bahadur Deuba faction accuses the rival camp led by party president and Prime Minister Sushil Koirala of committing fraud while nominating active members. This is a critical issue since convention representatives would be elected by them and they would further elect the leaders. Deuba faction has also objected to moves to amend the party’s statute to create more posts of office bearers. Koirala and Deuba are expected to be the main contenders for the post of party president during the convention. Deuba has been defeated twice earlier.

External Relations:

Nepal President visits China

5. President Ram Baran Yadav visited China from March 26 to 29. He was accompanied by the Minister for Urban Development Narayan Khadka. President was the guest speaker at the Boao Forum for Asia, established as an important economic forum for the Asian region. This was the first official visit of the Nepali President to China. This was also the first time that the present President held bilateral talks with the Chinese President since Nepal became Republic. President Ram Baran Yadav’s visit to China is considered significant also since 2015 marks the 60th anniversary of establishment of diplomatic relations between the two countries. A number of senior Chinese officials are expected to visit Nepal during the year as part of the 60th anniversary celebrations.

Maoist Chairman Dahal Also Visits China:

6. At the invitation of the Communist Party of China, UCPN (Chairman) Pushpa Kamal Dahal went on a weeklong visit to China from March 23 to 29, 2015. Dahal was accompanied by party General Secretary Krishna Bahadur Mahara. Dahal met with the Chinese Vice President Li Yuanchao and other party leaders with whom he mainly discussed issues related to bilateral relation, party to party relationship, and Nepal’s economic and political matters. On return, Dahal informed the press that Chinese leaders preferred Nepal’s Constitution to be based on broader peace agreement and all other past agreement. He added that the Chinese leadership believed that constitution was vital for political stability in Nepal. China was ready to ‘pour in funds’ as soon as normalcy was restored in the Country. Dahal said that the focus of the Chinese investment was to be on setting up mega projects in Nepal’s hydro power projects.

BHUTAN

Japan Grants NU 978M to Reconstruct Bridges:

7. To reconstruct the Chuzomsa and Nikachu bridge in Wangdue Phodrang and Zalam bridge between Trougsa and Wangdue Phodrang, the Japanese government has committed NR 978 million (1 billion and 956 million Japanese yen). The exchange of notes for the “Project for Reconstruction of bridges on primary national highway- 1” was signed on March 31 in New Delhi between ambassador of Japan to Bhutan Takeshi Yagi and Bhutan’s ambassador to Japan, General Vetsop Namgyel. The JICA (Japan International Co-operation Agency) has so far, built over 19 bridges across the country, of which 16 are along the lateral highway and three are farm road bridges. This time the government of Japan has decided to extend the grant/aid for reconstruction of bridges that were constructed in 1980s and have been degraded.