MAJOR PARTIES CONTINUE BID TO ASK CHIEF JUSTICE TO HEAD ELECTION GOVT. Kathmandu, 21 Feb.: The Big Three- ruling Maoists, opposition NC and UML and five-party ruling Madeshbadi Morcha-- are holding intra and inter-party talks discussions Thursday morning to convince Chief Justice Khil Raj Regmi to accept leadership of an election government to conduct second round of constituent assembly elections 5 June. Regmi has been reluctant so far demanding pre-c0onditions before accepting the assignment. The Maoist general convention proposal has come under heavy fire for attempt to ‘derail a democratic structure’ with clear separation of power between executive, legislature and judiciary, critics say... Top leaders of the Big Three and the Morcha are expected to hold discussions later in the afternoon with President Dr. Ram Baran Yadav. Nnnn PARAS SHAH STILL UNCONSCIOUS Kathmandu, 21 Feb: Former Crown Prince Paras Shah is being treated in an unconscious state after a second heart attack in Bangkok Tuesday night. Daughter Kritika underwent appendicitis operation at Norvic Hospital in the Nepalese capital. Shah is undergoing tests are and investigations at a hospital in Bangkok. where his condition was reported serious. Five relatives flew to Bangkok Wednesday to be with the former crown price who first suffered an attack in September 2007. nnnn. CAPITAL MORNING TEMPERATURE 7 DEGREES CELSIUS Kathmandu, 21 Feb.: Morning temperature Thursday in the capital at seven was 7 degrees Celsius. Mercury is expected to rise to 24 degrees Celsius in the afternoon. Nnnn . FAILED PARTY BID TO ASK CHIEF JUSTICE REGMI TO LEAD ELECTION GOVT. Kathmandu, 21 Feb.: Efforts by top leaders from the four major political forces to persuade Chief Justice Khil Raj Regmi to head the proposed election government couldn´t bear fruit on Wednesday as talks between the leaders and the chief justice ended inconclusively late in the day, Republica reports.. "As we needed to delve into various constitutional, legal as well as political aspects, we couldn´t reach any conclusion today," Nepali Congress (NC) Vice-president Ram Chandra Paudel told reporters while emerging from the talks. "We will hold another round of talks before reaching a conclusion." Paudel did not respond when he was asked repeatedly "whether or not Regmi accepted the parties´ proposal." On reporters questioning him repeatedly, Paudel chose his words carefully, saying the discussions were ongoing given the gravity of the issues. He said they discussed how to create grounds for new elections for the Constituent Assembly (CA) as the Interim Constitution did not envision the holding of CA polls for a second time. Top leaders talked to the chief justice as the latter declined to head an election government under the "various conditions" put forth by the parties. Top leaders from the UCPN (Maoist), Nepali Congress, CPN-UML and the United Democratic Madhesi Front (UDMF), who talked to Regmi at his residence at Baluwatar, tried to allay his concern that the major parties may render him powerless after appointing him head of the election government. According to a party leader privy to developments, Chief Justice Regmi expressed his ´unwillingness´ to head the proposed election government if the major political parties failed to form the coalition under his leadership through an unanimous decision. Regmi had conveyed to the prime minister his concern over the differing opinions of senior leaders of major parties regarding a CJ-led government and over the strikes and protests being staged by various political parties against such a government. CJ Regmi, likewise, expressed reservations over a clause in the nine-point draft proposal prepared by the four major political forces that says a High-Level Political Consultation Committee will oversee the new government´s activities and recommend to the president a name for a new prime minister of an Interim Election Government within 15 days in case of failure to hold the polls on a stipulated date in June. Sources said Regmi had even questioned the commitment of the political parties to holding the election on the stipulated date and to extending full cooperation to make the election a success. He became hesitant to accept the offer as the parties seemed divided over formation of the CJ-headed government. Nnnn INFLATION 9.8 PERCENT SAYS NRB Kathmandu, 21 Feb.: Nepal Rastra Bank (NRB), the central monetary authority, has revised inflation forecast for current fiscal year upward to 9.5 percent from 7.5 percent projected in Monetary Policy 2012 amid slowing domestic production and rising inflation pressure in India -- the largest supplier of goods to Nepal, Republica reports.. Inflation was recorded at 9.8 percent in the first half of 2012/13. Unveiling the mid-term review of the monetary policy on Wednesday, the central bank expected inflation to cool in the coming months. “Though we failed to contain inflation within the targeted limit in the first half of the current fiscal year, we are hopeful that it will cool down in the coming months,” NRB Governor Dr Yuba Raj Khatiwada said, unveiling the report. Khatiwada also informed that NRB has initiated homework to revise the system to determine weightage of commodities so as to make inflation calculation more accurate in coming days. He also clarified that the economic growth projection has been revised down to 4.1 percent from target of 5.5 percent due to weak capital spending in the absence of the full-fledged budget, nominal 0.7 percent growth in farm sector and 5.4 percent growth in non-farm sector amid prolonged load-shedding. “Insufficient monsoon, political instability, power deficit and weak capital expenditure are set to pull economic growth downward this fiscal season,” added Khatiwada. The review report also shows country´s balance of payment (BOP) dropped to Rs 6.07 billion during the first six months of the current fiscal year, from Rs 66.72 billion recorded during the same period last year. The central bank has announced to expand the system of ´base rate´ of interest, which has been implemented in commercial banks, also to development banks and finance companies. Through the monetary policy, the central bank had made it mandatory for all commercial banks to make public the ´base rate´ every month. Under the provision, BFIs will have to determine their interest rates on the basis of the base rate, a system which is expected to narrow down the gap in interest between deposit and credit. Khatiwada also informed that NRB was pushing ahead with the plan to introduce Financial Sector Development Strategy in an effort to ´develop sustainable, healthy and inclusive financial system´ in the country. In a move to promote renewable energy, the central bank is also planning to revise existing micro credit limit up to Rs 60,000 per household for installing solar system or bio-gas plant NRB expects the deposit mobilization by BFIs to slow down to 13.1 percent from projected 15.1 percent during the current fiscal year. The number of goods that could be imported from India paying US Dollar has been increased to 161. Similarly, NRB issued Rs 290 million and US$ 2.6 to importers for import refinancing during the review period. The NRB has also stated that under privileged sector credit issued by commercial banks, development banks and finance companies has reached 3.9 percent, 3.5 percent and 2.7 percent, respectively of their total credit until mid-January. The central bank has instructed all commercial banks, development banks and finance companies to lend up to 4 percent, 3.5 percent and 3 percent of their total lending, respectively to under-privileged sector. Nnnn INTERVIEW CJ-LED GOVT.UNSCIENTIFICSAYS CPN MAOIST SECRETARY NETRA BIKRAM CHAND CJ-led govt proposal unscientific REPUBLICA As deliberations over a CJ-led election government continues between the four major political forces, other political parties have been expressing their dissatisfaction over the whole process from which they feel left out. The biggest opponent of a CJ-led government has been CPN-Maoist, which organized Nepal banda against the decision on Tuesday. Kiran Pun and Biswas Baral talked to party secretary Netra Bikram Chand ‘Biplap’ to understand the position of ‘dash’ Maoists on government formation and broader national politics. How has CPN-Maoist taken the proposal for formation of election government under the sitting chief justice? Let there be no doubt. This proposal has not come with the intent of providing a breakthrough in the stalled political and constitutional process. I would say this proposal has come on the whim of certain leaders with vested interests. It has come without adequate analysis of the prevailing political situation. Your party has publicly blamed India for trying to impose this proposal on Nepal. If you analyze the proposal, you can say that this [India] factor played some part. The way it came out is a little suspicious. There should have been efforts to take all political forces into confidence, rather than bring out such a proposal from within a small coterie of leaders. Now that the proposal for a CJ-led government has been floated, can’t there be political understanding on it? The only way out at present is broad understanding among the forces ranging the whole political spectrum. The need of the hour is a new political understanding that supersedes the 12-point agreement and the comprehensive peace accord, which brings all political players, from the left to the right, on one platform. What can be the basis of such an agreement? The current crisis emanates from the breach of the 12-point agreement and the CPA. This has created great misunderstanding among the parties. We need a new understanding to turn this misunderstanding into new understanding. What are the chances CPN-Maoist will accept the proposal for government under Chief Justice? This is a completely unscientific proposal. To accept it would be tantamount to pushing the country into another cycle of uncertainty and chaos. To believe that the same leaders who were responsible for the demise of the Constituent Assembly and the same ones who have been systematically dismantling the basis of all past understandings will arrive at an acceptable solution is laughable. It is not just the question of whether a CJ-led government will be acceptable to us. We believe the whole process is flawed. So you don’t believe the CJ-led government is being formed for timely CA polls? I cannot rule out the possibility that the Chief Justice-led government was proposed with the aim of holding new polls. But even so, as national politics currently stands, there can be no election. When Baburam Bhattarai announced elections for Nov 22, he might have done so in good faith, but he could not even bring Nepali Congress and CPN-UML on board. Even if the two parties are on board this time, the majority of the people, intellectuals and politicians will still oppose the idea. How will polls be possible without their consent? In your view, what is the way out of the current crisis? What Nepal needs at the moment is broad political understanding. It is up to the big political parties to create an atmosphere for such an agreement. Will you take part in new CA polls if they are held? If there can be broad political agreement, why not? Election is an important symbol of a democratic process, which we accept wholeheartedly. CPN-Maoist has been talking up the option of roundtable conference. But the party has not taken any initiative towards this goal. We will revive that agenda at the right moment. Right now, our party is not in a position to play a decisive role. Until we are in a position to play such a role, we will continue on the current course of protests and talks. Let’s change the track a bit. UCPN (Maoist) is establishing a ‘production brigade’ to employ its cadres who are now without any work. Does CPN-Maoist have a similar plan to employ its cadres? This is a ridiculous idea proposed by Prachanda. The same leaders who disbanded the PLA, exploited its members and usurped their hard-earned money are now coming up with these big ideas. As far as our party is concerned, we don’t see the problems of our cadres in isolation and as different from the problems faced by the vast majority of Nepalis. The question of compensations comes only when cadres believe they should be compensated for fighting on people’s behalf. The only way the lot of our cadres as well as the broader Nepali population can be improved is through a forward-looking revolution. We are voluntary revolutionists, nor mercenaries. UCPN (Maoist) leaders have been blaming your party of acting in desperation and trying to enlist the help of former royalists. This is only an attempt to divert attention away from the main issue. In their reckoning, apparently only the king is ‘nationalistic’. But people are the true nationalists. To spot the nationalists only among the residents of Narayanhiti and Baluwatar is an illusion. In fact, it was Prachanda who asked me to talk to [former Army chief] Rookmangud Katawal and erstwhile royalists. He apologized to Katawal right in front of my eyes [for sacking him in 2009]. We should not be narrow-minded. We should enlist the help of all those who want to take the country on a progressive path. Instead of blaming former royalists for wanting to join our protests because the country is in a crisis, Prachanda should himself join us. For the ex-monarchs to realize that the country is in a deep crisis, while the leaders of a party that went to war to safeguard people’s rights would be deeply unfortunate. Gyanendra at least abdicated his throne. But here you have a long line of leaders lining up to visit Siliguri and New Delhi. If some foreign power proposes to make one of them the new king, they would readily sell the country. You are often blamed for instigating the break in UCPN (Maoist) because of your vaulting ambitions. Is there any truth to the allegation? They [Prachanda and Bhattarai] are right. If we had no higher ambitions, why would we fight at all? Instead of fighting, we could have served in the kitchens of Bhattarai and Prachanda. There is nothing wrong in being ambitious. But one should also not be overly ambitious. Nnnn n