US welcomes Nepal parliament for ratifying $500 million MCC infrastructure aid deal
(File image) US Ambassador to Nepal Randy Berry with Nepal Prime Minister Sher Bahadur Deuba
The United States Embassy in Kathmandu reiterated the strong ties shared by US and Nepal, saying that their relationship is ‘broader than one agreement’.
The comments came after the Nepal government ratified the $500 million-dollar Millennium Challenge Corporation (MCC) compact for Nepal.
On Sunday, Nepal’s parliament finally ratified the much-debated MCC compact after the ruling coalition reached a consensus. The 12-point ‘interpretative declaration’ paves way for the ratification of the MCC agreement.
Reacting to the development, the embassy welcomed the decision taken by the Government of Nepal, saying, “Today's decision by Parliament to follow through on its signed commitment and ratify the compact will mean more jobs for the Nepali people, a reliable supply of electricity, and lower transportation costs.”
The MCC pact, signed agreement in 2017, aims to modernize Nepal’s energy and transportation sectors with the hope of helping more than 23 million Nepalis.
The Nepali government will now be able to continue to work towards implementing the five-year program.
“The decision whether to ratify the $500 million-dollar Millennium Challenge Corporation (MCC) Nepal Compact has always rested with the Government of Nepal as a sovereign democratic nation,” the statement said.
Outlining the benefits of the compact, the embassy said, “In the nearly 20 years since its inception, MCC compacts have helped alleviate poverty around the world by forming partnerships with developing countries who are committed to economic freedom, investing in their citizens, and good governance, including promoting democratic principles and combatting corruption.”
In an effort to ratify the MCC in Nepal’s parliament, US Ambassador to Nepal Randy Berry held several meetings with Nepali leaders including Prime Minister Sher Bahadur Deuba and opposition leader KP Sharma Oli.
After days of high-level political meetings and discussions, the MCC-Nepal Compact was finally ratified by the House of Representatives–Nepal’s lower house–on Sunday evening.
During the passage of the pact, the parliament witnessed ruckus scenes. The main opposition CPN-UML raised objections, while some leaders from the ruling alliance staged a walkout during the session.
