Kathmandu, Feb. 7: While the political leadership debates whether or not to pass the US grant project, Millennium Challenge Corporation (MCC), through parliament, the business community is in favour of implementing the project by approving it without delay.

The business leaders said that the MCC project had been excessively politicised and its implementation delayed by political parties and leaders who have vested interests in it.
Private sector umbrella organisations -- Nepal Chamber of Commerce (NCC), Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and Confederation of Nepalese Industries (CNI) -- have been saying that the MCC project should be passed at the earliest as it is in the interest of the country and for the country's development as well. President of Nepal Chamber of Commerce (NCC) Rajendra Malla said that the MCC project should be passed as it is for the country's overall development.

"If there is any weakness in the agreement or it goes against the country's interest, the parliamentarians should discuss and remove them by studying deeply. But, these development aid projects should not be stalled for a long time. Political leadership made comments without any study and spread negative message among the public as per their vested interests," he told The Rising Nepal.

Stating that the US has been providing financial assistance to Nepal for over six decades, he said that this type of development support should not be stopped through any political propaganda.
No assistance, if they are against the country and the people, should be accepted he said, adding that any development assistance in favour of the country should be implemented as soon as possible regardless of any pressure from outside. The USD 500 million project is in the interest of the private sector, he said.

Private sector umbrella organisations had already been demanding the passage of the MCC project securing the national interest of the country.
Earlier, they had urged Prime Minister Sher Bahadur Deuba to build a coalition of parliamentarians to ratify the Millennium Challenge Corporation (MCC) Nepal Compact Programme at the earliest.

In September 2017, the government of Nepal and MCC, a US government agency, had inked an agreement to implement a US$ 630 million compact, $500 million from the MCC and $130 million from Nepal, to construct large transmission lines, including Butwal-Gorakhpur cross-border transmission facility and rehabilitate strategic roads.

The MCC compact has two components - Electricity Transmission Project and Road Maintenance Project.
The compact aims to maintain road quality, increase the availability and reliability of electricity, and facilitate cross-border electricity trade between Nepal and India - helping to spur investments, accelerate economic growth, and reduce poverty.

Shekhar Golchha, president of the Federation of Nepalese Chambers of Commerce and Industries (FNCCI), said the MCC project should be treated as a development issue rather than a political one. "The MCC project is connected to the country's development and prosperity rather than a political one. So, it should be implemented with the endorsement at the earliest," he said.
Stating that Nepal needs infrastructure for accelerating economic growth, he said the country did not get such huge assistance in infrastructure development ever before.
"As the huge assistance received in infrastructure development, we should not stop infrastructure development. It is a must to carry out development works by taking grants that were in favour of the country and national interest," he said.

President of the Confederation of Nepalese Industries (CNI) Vishnu Kumar Agrawal said that political parties should endorse the MCC project from the parliament by analysing it as an economic agenda and interest of the nation instead of only politically.
He argued that it is a 100 per cent grant project, there should be no unnecessary politics in it.

"We understand that the timely completion of power transmission line and road maintenance programmes through this project, which is of strategic importance in the development of the country, will help in high economic growth," he said.
At a time when the country requires huge foreign investment to achieve high economic growth in post-COVID-19 pandemic, MCC’s investment in the electric and road sector is highly significant, he said.
At a time when power generation is increasing in the country, the MCC project would support cross-border power trade and balance of payment, he said.

"The government has already accepted the grant by signing the agreement. So, this is linked with the country's image. In this situation, we have to implement the project as soon as possible," said Satish Kumar More, immediate past president of the CNI.

"If we reject it out of political reasons, the attitude of the donor community and foreign countries towards Nepal will be negative in the days to come," he said