27 May 2008
Nepal set to become a republic May 28 when Constituent Assembly convenes

Washington -- Nepal’s April 10 election, along with bringing the rebel Communist Party of Nepal (Maoist) forces to power, also spells the end of its 239-year-old monarchy as the country’s new Constituent Assembly convenes May 28 with the goal of declaring the country a republic.
King Gyanendra has ruled the world’s only “Hindu kingdom” since assuming power in 2001 after Nepal’s crown prince killed most of the royal family and himself. Gyanendra fell out of favor with many Nepalese after he dismissed the civilian government in 2005 on the grounds of needing absolute authority to defeat the Maoist insurgents.
The Maoists joined other Nepalese political parties in 2006 and committed themselves to multiparty democracy and democratic principles in return for new elections to a Constituent Assembly. In the April 10 vote, the Maoists won 220 of the assembly’s 601 seats and will head a minority government.
Jeffrey Ellis of Washington’s Center for Strategic and International Studies (CSIS) says the election results “mark a potential turning point for the Maoists.” They must transition from being an insurgent force into running the country as democratically elected leaders, he said. Among their most pressing issues are developing Nepal’s new constitution and finding ways to structure a federal government that adequately protects the country’s ethnic and social minorities.
Ellis said the Maoists “have yet to fully and convincingly renounce their use of violence.” Nepal’s future “depends on whether the Maoists decide to adopt democratic behavior, or whether the uncertainty of electoral politics leads them back to extremism.”
UNITED STATES PLANS TO CONTINUE ASSISTANCE
Amidst the changes in Nepal, the United States is seeking to continue its support programs for the Nepalese people in areas such as promoting good governance, preventing human trafficking, and supporting internal peace efforts and an enhanced role for women in the country’s civil society.

Deputy State Department spokesman Tom Casey said May 14 that the Maoists have been on the “terrorist exclusion list,” which bars members or associates from entering the United States. This list is less severe than the State Department’s list of designated terrorist organizations, which would prohibit Americans and the American private sector from knowingly providing material support or resources to the group.
Casey said U.S. Ambassador to Nepal Nancy Powell met with the head of the Maoist party in early May primarily to receive assurances that ongoing U.S. humanitarian programs in Nepal would not be disrupted by the new government.
“We were pleased to get a response that they did not intend to do anything to block or otherwise obstruct these programs,” she said.
Powell participated in an online forum April 28 and told readers that during the past 12 years, the United States has provided assistance to support local peace initiatives in the Terai region. She said that U.S. democracy programs have helped train and equip the country’s political parties and the Election Commission that participated in the April 10 vote.
“Two of our most successful democracy programs started out supporting community forestry user groups and female health volunteers. In both programs, the result has been the strengthening of local governing bodies and the enhanced role of women,” Powell said.
She said if Nepal adopts more business-friendly policies, including reducing corruption and improving the education of its citizens, the country stands to develop a much more robust economy.
“In particular, it has huge potential in the tourism and hydropower fields. There is also an emerging IT [information technology] sector that may be able to work with the Indian IT companies,” she said. However, Powell said, any economic reforms by the new government will be hampered by high food and petroleum prices.
Powell said U.S. diplomats in Nepal will be monitoring the country’s political transition closely, especially focusing on the new government’s respect for human rights, media freedom and the right of all political parties to engage in activities throughout the country.
The ambassador said any changes in U.S. policy toward the new government “will depend on the attitude of the new government toward both our [humanitarian] programming and maintenance of democratic norms.”
A transcript of the ambassador’s webchat is available on the State Department’s Web site.