INFLATION SLIPS TO 7.7 PERCENT

INFLATION FALLS TO 7.7 PERCENT
Kathmandu, 1 Oct.: Balance of payments (BOP) surplus surplus increased to Rs 8.30 billion
in the first month of the fiscal year 2011/12 with fall in trade deficit growth and increased remittance inflow, Nepal Rashtra Bank (NRB) said.

Remittances reached Rs 21.87 billion –a 23 percent jump compared to the same month the previous year, NRB said.

Exports in the review period totaled
Rs 6.07 billion and imports increased nominally by 7.2 percent to Rs 32.69 billion.

Trade deficit was Rs 26.62 billion as
garment and pashmina exports rose.


Inflation fell to 7.7 percent in mid-August 2011.


But food and beverage price increased 9.9 percent in the review period.



Gross foreign exchange reserves totaled Rs 283.77 billion-- sufficient for financing merchandise and service imports for 7.6 months.
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PRACHANDA, BAIDHAYA AGREE NOT TO INTENSIFY INTERNAL RIFT





Kathmandu, 1 Oct., In a move to mend fences with his vice-chairman Mohan Baidhya ‘Kiran’, UCPN-Maoist chairman Pushpa Kamal Dahal Prachanda met him in Gongabu this [Friday] morning, The Rising Nepal reports.
It is learnt that the two leaders agreed not to further intensify the internal rift and seek dialogue to solve it.
They discussed on managing internal rift, holding the central committee meeting after Dashain and the controversial statement of Defense Minister.
The Baidhya faction has been protesting the handover of keys of arms containers to the Army Integration Special Committee, and the four-point agreement signed between the Maoist party and the United Democratic Madhesi Front. Recently, it took to the streets to denounce the statement of Defense Minister Sarat Singh Bhandari.
The party central committee meeting, scheduled on Friday, was postponed for indefinite period.
However, the Baidhy faction gave continuity to their scheduled protest programmes despite its commitment not to take them to the public until the CC meeting sorted out it.
The supporters of Baidhya faction took out torch rally in Kathmandu and other parts of the country this evening, demanding the removal of Minister Bhandari from the post and abrogation of the four-point agreement.
Sister organizations close to Baidhya took out rally in Ratnapark, Lagankhel and Bhaktapur and Chitawan.
The Baidhya faction termed Bhandari’s remark as anti-nationalistic and against the geographical integrity.
The Maoist Standing Committee meeting, held some days ago, decided not to take the internal dispute in the public until the CC meeting.
Party split unlikely
Meanwhile, Maoist politburo member Haribol Gajurel said that the ongoing intra party debate has only helped to consolidate the party and such debate will not lead to the party’s split.
Speaking at an interaction organised by Reporters Club here, Gajurel said that some leaders were trying to pollute the party but such a move will not succeed. If, eventually, there is a split, the party will get rid of the pollutants which is beneficial.
He said that Matrika Yadav and Rabindra Shrestha groups tried to split the party in the past. They succeeded to take a small chunk away which cleaned the party, he said.
"A small number of people may leave the party. That will only make the party free from polluting elements," Gajurel said.
He said that the four-point deal has tried to ensure the rights of the Madhesi people which will only help to promote nationalism. He ruled out the need to scrap the deal and said that those who have been opposing the deal are not nationalists.
All the political parties have no option but to support this government for the sake of concluding the peace process and writing the new constitution.
Gajurel alleged that NC was not honest to conclude the peace process
CPN-UML leader and former Home Minister Bhim Rawal said that the Prime Minister should conclude the peace process within 45 days as he has made a pledge.
Rawal said that 15 days are left for the Prime Minister to conclude the peace process and he added, "If he fails to meet his pledge regarding his task on peace and constitution, he is going to lose public trust."
Rawal demanded the scrapping of the four-point deal as it has undermined Nepal’s nationality.









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KHANAL BLASTS GOVT. FOR NOT WORKING TOWARSS PEACE





Kathmandu, 1 Oct.: CPN-UML chairman Jhala Nath Khanal Thursday said that it was quite objectionable that the government failed to react to the statement of Defense Minister Sarat Singh Bhandari, which he said, was tantamount to anti-national dignity, The Rising Nepal reports.
"Bhandari’s remark is against the national integrity and dignity," chairman Khanal said, talking to the media persons at the Tribhuvan International Airport.
Khanal returned home after completing his five-day visit to India.
He went there to attend an anniversary of KIT College in Orissa.
He also criticised Dr. Baburam Bhattarai-led government, saying that it could not move ahead to conclude the peace and constitution writing processes in line with 45-day timeline.
"Works relating to the peace process came to a complete halt. There is not clear signal that this government will be able to finish the twin historic tasks. This has further justified the relevance of national consensus," said the UML chair.
He also urged other parties to follow the path of national consensus.
According to Khanal’s

personal secretary Nirmal Bhattarai, Khanal addressed the two separate functions organised by the Kalinga Institute Industrial Technology (KIT).
Bhattarai said that Khanal did not engage in any political meetings. Next year the college will bestow honorary Ph. D upon Khanal.
UML vice-chairman Bamdev Gautam went to the airport to receive Khanal.
Meanwhile, UML secretary Shankar Pokharel asked Nepali Congress and UCPN-Maoist to abandon their rigid stances and follow the path treaded by his party.
"The NC has found it difficult to embrace the political change of 2006 April Uprising while the Maoists are not satisfied with the achievements of the change," he said.
He was speaking at an interaction organised by the Constituency No 2 of UML Sankhuwasabha district committee in Chainpur.
Pokharel also demanded that the government clarify the controversial statement of Defense Minister Bhandari.
He also termed the four-point agreement, signed between the Maoist party and United Madhesi Democratic Front, as anti-nationalistic.

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