NEPAL: ETHNIC GROUPS UP IN ARMS OVER DEAL

[The speakers also accused the three parties and the Morcha of maintaining double standard by supporting the ethnic groups on the one hand and siding with the demands of Bahun-Chhetri Samaj on the other. They threatened to retaliate against the ongoing assault on Tharu and other ethnic communities from anti-federalist cadres.]

Participants of a rally’ organised by Indigenous Nationalities

Joint Struggle Committee whistle during a protest to pressurise

the political parties and Constituent Assembly for an identity-based

federalism at New Baneshwor in the Capital on Wednesday.

Image : Kiran Panday /eKantipur

KATHMANDU, MAY 17 - Various ethnic groups including Tamang, Gurung, Rai, Sherpa, Tharu and Newar have decided to protest throughout the country against the latest agreement reached among the political parties to federate the country into 11 provinces and adopt a mixed system of governance.

Three major parties and the Samyukta Loktantrik Madhesi Morcha (SLMM) on Tuesday had agreed to federate the country into 11 states.

In a press meeting organised by the Nepal Federation of Indigenous Nationalities (NEFIN), they announced to launch  Kathmandu-centered protests against what they called anti-federal decision. The group has scheduled a series of valley-oriented protests be led by Tamang and Newar communities until their demands are met. 

The speakers blamed the political top brass for deciding on the 11-state model without discussing among parties, experts and ethnic communities.

NEFIN cited three instances of deception in Tuesday's understanding--agreement on less than 14 states approved by the State Restructuring Committee of the Constituent Assembly, decision to demarcate provinces later, and naming of the states only after their delineation.

The speakers also accused the three parties and the Morcha of maintaining double standard by supporting the ethnic groups on the one hand and siding with the demands of Bahun-Chhetri Samaj on the other. They threatened to retaliate against the ongoing assault on Tharu and other ethnic communities from anti-federalist cadres.

“The government, police force and members of the political parties have been assisting anti-federal elements to suppress the peaceful protests of Tharu and other ethnic communities. Ethnic communities will not tolerate it. We will carry out nationwide protests until our demands are met,” said NEFIN Chairman Raj Kumar Lekhi.

Echoing Lekhi, Om Gurung said revolution was inevitable. He said it was a model taken out of some leaders' pockets. “Some sections are continually spreading illusion about the demand of ethnic groups as anti Bahun and Chhetris,” said Gurung, adding that they were not against any communities but were demonstrating for their identity.

Krishna Bhattachan said the latest decision was an outcome of Brahmin-oriented mindset. He expressed fear that the intra-community violence might act like forest fire and destroy all.

“If the top parties fail to address the demands of ethnic communities, the leaders should be ready to face adverse consequences,” said Bhattachan.

The speakers opined that the demonstration of ethnic communities have normally been “reactive” rather than “proactive”. They said that they have resolved all internal disputes to begin a fresh stir.

When questioned about the position of leaders affiliated with the major parties, the speakers claimed that they wo

@ Ekantipur

RUPEE PLUNGES TO ALL-TIME LOW AGAINST US DOLLAR

[Indian currency had reached as low as IRs 54.15 against a US dollar on Tuesday morning, which is the second lowest since the Indian currency plummeted to a record low at IRs 54.30. Indian media have blamed  worsening global risk environment and concerns about India’s fiscal and economic challenges for the weakening Indian currency.]

KATHMANDU, MAY 16 -

The Nepali rupee touched the lowest level against US dollar on Tuesday as the central bank determined the selling price of per dollar at Rs 86.39—two paisa lower than the previous record of Rs 86.37 on Dec 16, 2011.  

The fall of the rupee against the dollar is mainly due to the sharp devaluation of the Indian currency, with which the domestic currency is pegged. Although the Indian currency almost touched a little less than its record low value against the dollar, the NRB fixed the record low value of domestic currency against the dollar.

A senior NRB official said that there is a little chance of deviation while fixing value of the Nepali currency against dollar compared to the Indian currency value against the greenback. “We determine the value of Nepali currency against dollar on the basis of the value of Indian currenty at around 11am every day,” said the central bank official. “That’s why there remains a little chance of marginal deviation.”

Indian currency had reached as low as IRs 54.15 against a US dollar on Tuesday morning, which is the second lowest since the Indian currency plummeted to a record low at IRs 54.30. Indian media have blamed  worsening global risk environment and concerns about India’s fiscal and economic challenges for the weakening Indian currency.

NRB officials say that the depreciation of domestic currency is good for the export but it will increase the cost of third-country imports as more domestic currency is required to support import bills. Importers are also hesitant to make decision on import due to strengthening of the dollar against the Nepali currency.

An importer dealing with electronics said that he is facing difficulty making a decision as importing electronics at high cost may not be wise given the intense competition in the market. “Those who have stocks of materials imported at cheaper rate may attract more customers while those paying high have to suffer,” said the trader.

With imports from third countries accounting for around 33 percent of the total imports, the economy may face inflationary pressure. Nepal imported goods worth Rs 261.63 billion from India in the last fiscal, while those from third countries stood at Rs 133.27 billion. As Nepali industries import raw materials from India by paying US dollars, they will have to bear additional burden.

However, the rising number of migrant workers are likely to send more remittance when the Nepali currency is weak.

The weakening rupee also means the Nepal Electricity Authority will have to pay more for electricity from Bhotekeshi and Khimti hydropower projects, both of whom have power purchase agreements in dollars. Nepal will also have to pay more while repaying its external loans.

@ Ekantipur

TARAI BANDA:  THARU SUPPORTERS, COPS CLASH

[The shutdown has caused a huge loss to the business and industrial sector in Chitwan. The Chitwan Chamber of Commerce and Industry said the district is suffering a daily loss of over Rs 60 million. The tourism industry in Chitwan has also been hit.]

KATHMANDU, MAY 16 - A shutdown called by the Tharuhat Struggle Committee in various Tarai districts continued for the third consecutive day on Wednesday, making life difficult for the general public. 

Eastern Tarai districts like Jhapa, Morang, Sunsari, Saptari and Siraha remained shut. Marketpalces and academic institutions are closed, while transportation has come to a grinding halt, leaving many passengers stranded.

A man in need of immediate medical attention died in a bus that was stopped by Tharuhat activists in Sunsari on Wednesday. The man has been identified as 62-year-old Gambhirman Nepali of Taplejung.

Banda supporters stopped more than 50 buses headed for various eastern districts on the Jhumka stretch of the East-West Highway. They also vandalised some buses at Jhumka in Sunsari and at Dulari in Morang for defying the shutdown.

The Tharu banda was also felt in other districts like Chitwan, Rupandehi, Banke and Nawalparasi.

Supporters of the Tharuhat Struggle Committee set three vehicles on fire along the Butwal-Narayangad section of the East-West Highway. A brief skirmish broke out between banda supporters and security personnel. At least 15 people were hurt in the incident. Security personnel fired 12 rounds in the air and lobbed 30 tear gas shells to disperse the demonstrators.

The shutdown has caused a huge loss to the business and industrial sector in Chitwan. The Chitwan Chamber of Commerce and Industry said the district is suffering a daily loss of over Rs 60 million. The tourism industry in Chitwan has also been hit.

Similarly, Banke district is incurring a daily revenue loss of Rs 8 million. Owing to the banda, dozens of trucks carrying imported goods to Nepal are stranded along the Nepal-India border.

@ Ekantipur