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H E A D L I N E S


 Kathmandu Wednesday July 10, 2002 Ashadh  26,  2059.


Their Majesties arrive in Beijing

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Beijing, 9 July: Their Majesties King Gyanendra Bir Bikram Shah Dev and Queen Komal Rajya Laxmi Devi Shah have arrived in Beijing at the start of a state visit to the People's Republic of China.
Their Majesties are being accompanied by Her Royal Highness Princess Prearana Rajya Laxmi Devi Shah.

Included in the entourage are Minister for Health Sarat Singh Bhandari and other members of the visit team.

Upon arrival at Beijing's Capital Airport in connection with the l0 day state visit to the People's Republic of China at the friendly invitation of Chinese President Jiang Zemin, His Majesty the King was accorded a hearty welcome by vice Minister at the Ministry of Foreign Affairs of China Wang Yi, Royal Nepalese Ambassador to China Rajeshwar Acharya and Mrs Kamala Acharya.

Their Majesties arrived at Beijing's Capital Airport by a special flight of Royal Nepal Airlines at 6.30 pm local time. On the occasion Their Majesties were offered bouquets by girls as per Chinese custom. Also present to welcome Their Majesties were other officials and employees of the Royal Nepalese Embassy in Beijing.

Their Majesties are paying a state visit to neighbouring country China after paying a state visit to another neighbouring country, India, soon after completion of one year since accession to the throne.
Their Majesties are staying today at the Diaoyutai State Guest House.

His Majesty is scheduled to visit the Hualixing science and technology development company tomorrow.

After that a formal welcome will be accorded to Their Majesties by President of China Jiang Zemin at the Great Hall of the People.

Also tomorrow, two agreements are to be signed in the presence of His Majesty the King and President Zemin. Also tomorrow letters are to be exchanged on the opening of an honorary Nepalese consulate general in Shanghai. Similarly, agreements are to be reached on an annual grant aid to Nepal of Rs 780 million from the government of china, the trade treaty with the Tibet Autonomous Region of China which is renewed every l0 years and on trade.


His Majesty graces cultural programme

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Kathmandu, 9 July: His Majesty King Gyanendra Bir Bikram Shah Dev graced the cultural programme and dinner hosted on the occasion of His Majesty's 56th auspicious birthday by Nepal Police at the Birendra International Convention Centre, New Baneshwor on Monday.

Her Majesty the Queen and his Royal Highness the Crown Prince were also present on the occasion.
Also present were other members of the Royal Family.

Their Majesties were welcomed by Inspector General of Police Pradip Shumsher JB Rana.
On the occasion, His Majesty was offered the auspicious birthday special issue titled "Police" published by the Police Headquarters to mark His Majesty's auspicious birthday.

Prime Minister Sher Bahadur Deuba was also present on the occasion.

Also present at the function were the Chief Justice, Speaker, ex-prime ministers, ministers, MPs, heads of constitutional bodies, chiefs of diplomatic missions, leaders of various political parties and individuals from various sectors of the society.

In his welcome speech, Inspector General of Police Rana extended best wishes for His Majesty's long life and good health and said that Nepal Police is determined to serve the Crown, country and its people abiding by its main motto of truth, service and security.

Many brave sons of Nepal Police laid down their lives in checking terrorism that has crippled the country and many are still fighting against it, IGP Rana said adding that Nepal Police will always remain committed to carrying out the duty given by the state to maintain law and order and guarantee the rule of law at any circumstance.

On the occasion, Nepal Police artists presented various songs and dances highlighting the culture and costume of different societies across the nation.

Likewise, on the occasion of the 56th auspicious birthday of His Majesty the King, Royal Nepalese Ambassador to India Dr Bhekh Bahadur Thapa hosted a reception at the embassy premises on monday.

Indian Vice-President Krishna Kanta attended the reception as chief guest.

On the occasion, national anthems of Nepal and India were played.

Heads and members of diplomatic corps, senior officials of the Indian government, former Indian ambassadors to Nepal, members of the Bharat Nepal Maitri Sangh, journalists, intellectuals, members of Nepali Community in New Delhi, Nepali students and well-wishers of Nepal attended the function.

Likewise, in Moscow, Royal Nepalese Ambassador to the Russian Federation Lila Prasad Sharma hosted a reception at the embassy premises.

Deputy foreign minister of Russia Alexander P. Lodyukov attended the function.

On the occasion, ambassadors, diplomats, high ranking government officials, academicians, scholars, writers, journalists and a large number of Nepali nationals residing in Russia were present.
Also on Monday, Royal Nepalese Ambassador to Thailand Janak Bahadur Singh hosted a reception in Bangkok.

Around 300 distinguished guests including ministers, MPs, privy councillors, the Governor of Bangkok, high officials of the Royal Thai Government, heads of diplomatic missions, senior diplomats, high officials of UN-ESCAP and other regional organisations of the UN as well as Nepali nationals residing in Thailand attended the reception.

Meanwhile, to mark the auspicious birthday of His Majesty the King, a special supplement was published in the July 7 issue of "The Nation" English daily published from Bangkok.


Their Majesties leave for China

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Kathmandu, 9 July: Their Majesties King Gyanendra Bir Bikram Shah Dev and Queen Komal Rajya Laxmi Devi Shah left for Beijing this morning by a special aircraft on a state visit to the People's Republic of China at the friendly invitation of Chinese President Jiang Zemin.

Her Royal Highness Princess Prerana Rajya Laxmi Devi Shah is accompanying Their Majesties the King and Queen.

Earlier, a contingent of the Royal Nepal Army presented a 31-gun salute and a guard of honour to His Majesty the King at the VVIP bay of Tribhuvan International Airport.

His Royal Highness Crown Prince Paras Bir Bikram Shah Dev bid a warm farewell to Their Majesties the King and Queen.

Other members of the Royal Family were also present at the VVIP bay of the airport to see off Their Majesties.

On the occasion, Their Majesties were offered bouquets by Panchakanyas.

Also accompanying Their Majesties is Minister for Health Sharat Singh Bhandari.

Prime Minister Sher Bahadur Deuba was present at the airport to bid farewell to Their Majesties.
Also present on the occasion were the Chief Justice, the Speaker, the chairman of the Raj Parishad Standing Committee, ministers, leaders of various political parties, MPs, heads of foreign diplomatic missions, heads of constitutional bodies, officials of the Royal Household Service and high ranking HMG officials.


Ground reality reflected in budget, says Shah

By A Staff Reporter

Kathmandu, 9 July: The estimated budget of Rs 96.124 billion for the fiscal year 2002-2003 announced Monday is 'more realistic and goal oriented', which is geared towards peace, poverty alleviation and economic re-structuring. The budget is totally based on the ground reality of the country's overall economic situation, said Minister of State for Finance Bharat Kumar Shah here today.

The budget estimates have laid its priority on peace and security for development, said State Minister Shah adding "the ordinance has tried to encompass all aspects of national economy."

Though the amount earmarked for the regular expenditure is heavier than the development expenditure, it will support the overall development activities in the country, Shah added.

Out of the total budget of Rs. 96.12 billion, Rs. 57.45 has been allocated for regular expenditure and Rs. 38.68 billion for development. The regular expenditure has gone up by 16.9 per cent while the development expenditure has increased by 16.3 per cent, with the total expenditure increasing by 16.7 per cent.

The regular expenditure has increased by 16.5 per cent, but the development expenditure has plummeted by 23.4 per cent compared to the previous budget. The total volume of the budget has declined by 3.7 per cent this year.

State Minister Shah, while speaking to the media people assured that the government is fully committed to the effective implementation of the budget. "Smaller size of the development budget does not affect the country's economy. We will try for its full utilisation," he noted.

Since peace and security is the prime task of the government, a substantial amount of budget has been earmarked for this purpose. On top of that the government through the budget has targeted to gear up its efforts to establish peace and security for the revival of the economy. "Economic development is not possible without peace", he asserted.

Vice chairman of the National Planning Commission (NPC) Dr. Narayan Khadka said that the budget estimates for the fiscal year 2002-2003 are based on reality of the country's economy. Unlike in the past years more budgets have been allocated for the general expenditure. That is a reality. The government will try to utilise the development expenditure to its full capacity, said Dr. Khadka.
NPC vice-chairman Khadka noted that the government has categorised development projects as per their significance. "We will classify the projects, according to which development activities will be carried out," he said.

About 433 projects in different areas such as economic sector, social sector, hydropower and transport have been set aside. All these activities will help gear economy to a great extent, Dr. Khadka noted.

Finance Secretary Dr. Bimal Koirala reiterated that the budget estimates have tried to maintain harmony between needs and the available resources.

Dr. Koirala said that the budget is "completely based on the country's income and expenditure. We can revive our economy to the prevous level."

The government has targeted to collect Rs. 57 billion through the revenue.

To achieve this target we have introduced certain measures in the tax administration, Dr. Koirala said adding, and "we have encouraged a voluntary taxation system to bring more people within the tax net."

The budget has accorded priority on private sector development, financial sector reform and economic restructuring, he said.

Dr. Tilak Rawal, governor of the Nepal Rastra Bank (NRB) appreciated that the budget is "realistic without backtracking."

Dr. Rawal also expressed the hope that the effective implementation of the budget would help gear up economy. He also informed that the NRB would bring a new monetary policy to adjust with the changing economic situation. The NRB in near future will introduce the new monetary policy, he said.
Regarding the lease of the Rastriya Banijya Bank (BRR), Dr. Rawal also said "the NRB is watchful about the response of the DMT. However the contract of the Nepal Bank Limited will go head."
Dr. Shankar Sharma, member of the NPC said the budget estimates would help revive economy.
Responding to the queries Dr. Sharma said that the donors' assistance will be utilised for development.

In a separate programme, economists and former finance ministers described the budget for the fiscal year 2002-2003 as positive. Former vice chairman of the NPC Dr. Badri Prasad Shrestha emphasised the need for the effective implementation of the programmes of the budget.
Mahesh Acharya, former finance minister said that the government's commitment to improve the atmosphere for investment and implementing poverty reduction programmes in sustainable manner is a welcome step. Stating that subjects like prioritisation of expenditures are positive in terms of the policy, Acharya said adding "But the implementation aspect should be effective."


41 new municipalities recommend

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Kathmandu, 9 July: The municipal areas fixation recommendation committee constituted by HMG submitted its report to Minister for Local Development Khum Bahadur Khadka at his office at the Ministry of Local Development today.

The committee has recommended declaring 41 new municipalities to cover the growing VDCs.
The recommended municipalities are Taplejung, Phidim, Birtamod, Urlabari, Myanglung, Bhojpur, Diktel, Katari, Mohanpur, Kalyanpur, Kanchanpur-Rupnagar, Ramangar-Mirchaiya, Dhanushadham, Sakhuwa-Mahendranagar, Nigaul-Gaushala and Manthali.

Likewise, Hariban, Chandranigahapur, Simara, Jitpur, Chautara, Panchkhal, Shankharapur, Karyabinayak, Champapur, Nilkantha, Lamjung, Khaireni, Dulegauda, Kushma, Beni, Tamghas and Sandhikharka have also been recommended to be declared municipalities.

Similarly, recommendation to declare municipalities have been made for Gaidakot, Sunbal, Bandipur, Pyuthan, Salyan, Kohalpur, Rajapur, Bajhang-Chainpur, Mangalsen, Sanfebagar and Chandannath.
Eighteen of the 41 VDCs recommended to be declared municipalities are the headquarters of the hilly districts. It is seen that there will be an additional 17 municipalities in the Terai/inner Terai while there will be 21 new municipalities in the hilly area and only two in the Himali region.

The committee has recommended Jorpati VDC to be made Ward No. 36 of Kathmandu Metropolitan City while Hemja VDC, Lamachaur VDC and Arba Bijaya VDC have been recommended to be made Ward Nos. 19, 20 and 21 respectively of Pokhara Sub-metropolitan City.

Likewise, the committee has recommended that the entire Sodiyar VDC of dang district be merged with Tribhuvannagar Municipality, the entire Haliwar VDC with Tulasipur Municipality, the entire Sonamati VDC with Lahan Municipality of Siraha district, the entire Chandragadhi VDC with Bhadrapur Municipality of Jhapa district, and the entire Debadaha, Shankarur and Semlar VDCs with Butwal to make it a sub-mteropolis.

The urban population will reach from 14 per cent as per the population census of 2058 to 19 per cent after the 41 new municipalities are declared, it is learnt.

The committee has made the recommendations on the basis of interaction with various institutions and persons and taking into consideration factors such as non-agricultural occupation, population density, electricity and water, roads, education, health, communications, industries, business, mobilisation of economic resources, district headquarters, and governmental and non-governmental programmes.

Proposals from 44 districts were received for 90 municipalities and the recommendation sub-committees constituted with chief district officers as the convenor had been constituted to make the recommendations on the basis of specified norms, it is learnt.

As there had been widespread differences in the populations of the wards, recommendations for minor changes have been made in the structure of Mechinagar, Ilam and Tikapur municipalities.
Receiving the report, Minister for Local Development Khadka said that the report will be sent to the election commission for approval and the Council of Ministers will take a decision in this regard.
He said that the committee had prepared the report in a neutral manner by rising above politics and hoped that everyone would accept it.

Committee convenor Prof. Dr. Surya Lal Amatya said that the government should announce the new municipalities in line with the belief that urbanisation is an indicator of development because the VDCs have not been able to function effectively.

Spokesman at the Ministry of Local Development Hari Prasad Rimal also expressed his views on the occasion.

Sriprasad Mahara was member and Surya Regmi member cum secretary of the committee constituted by HMG in May 2002 with professor Dr. Surya Lal Amatya as the convenor.


Deuba asks journalists to enhance democratic norms

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Kathmandu, 9 July: Prime Minister Sher Bahadur Deuba has said it is necessary for all the journalists to engage in consolidating democracy and enhancing democratic norms and values in the society at a time when multi-party democracy is being threatened by terrorist and violent activities in the country.
In a message sent to the 19th general meeting of the Rastriya Press Club, Nepal, Deuba lauded the role played by the journalists for restoration of multi-party system.

Expressing the view that healthy journalism contributes to the development of multiparty democracy and constitutional monarchy, Deuba said as journalism is an effective means for providing information to the people, the journalists should disseminate news reports based on facts.

It is the duty of the journalists to alert the government on important and sensitive issues, he said, adding that if the journalists failed to disseminate news reports based on facts, it would have a negative impact on the state.

President of the Rastriya Press Club (RPC) Ramkrishna Karmacharya, from the chair, said that the journalists should demonstrate solidarity in matters concerning their professional rights, welfare and security.

The general meeting has nominated Dilliram Nirbhik of Bhadrapur, Purnalal Chuke of Nepalgunj, Surendra Puri Suman of Janakpur and Keshav Devkota of Bhaktapur as members of the steering committee and president of Lalitpur district Nepal Press Union Batukrishna Karki, Iswor Raj Dhakal of Lalitpur district FNJ and Rupkrishna Karmacharya of Channel Nepal as members of the RPC executive committee.


'Reform measures pragmatic'

By A Staff Reporter

Kathmandu, 9 July: The Confederation of Nepalese Industries (CNI) in its comment on the budget said that the continuation of the steps contributing to industrialisation and at least some reform measures announced in the budget has made the budget pragmatic and realistic.

It has praised the increase of the custom duty on the import of some finished products to give protection to the local industries, but called the increase of duty on raw materials of basic industries like cement would negatively affect the cost of construction.

Measures like the continuation of the export promotion policy, the maintenance of the pass book policy for the tax return of the raw materials imported for the export products and the commitment that those taxes would be returned within one month, increase in the personal income tax ceiling would provide relief to the industries and the consumers.

But the CNI said the budget has some inadequacies as was expected by the industrial sector and the exporters in providing more incentives and encouragement to the investors and in the review of export tax. It has called for the inclusion of the carpet and the garment industries in the category of sick industries.

"Although the budget has no provision which would affect the industrial investment negative, it has failed to formulate policies and programme to stop the downslide of the economy and to revitalise and give momentum the country industries, commerce and the tourism sector," the CNI said.
In its reaction to the budget, the immediate past president of Garment Association Nepal (GAN) Brij Gopal Inani has appreciated the significance given in the budget to maintain peace in the country, which it said was important to export industries. In his comment Inani, chairman of the Asian Textiles and Garment Council also called for the removal of export tax to make garment export VAT-free instead of refunding VAT after export to enable the garment industry to compete internationally.


Health experts prescribe anti-malaria drive

By A Staff Reporter

Kathmandu, 9 July : Experts in the fields of epidemology and public health said today that a massive public awareness campaign has to be launched to prevent and control the epidemic of malaria.
Dr. Govind Ojha, director at the Epidemology and Disease Control Division under the Department of Health Services, said that awareness could play a vital role in the prevention of the epidemic.
"People in the rural areas become the victims of malaria as they either do not know about the fact that the mosquito bite can cause the disease or they do not try to change their behaviours," Dr. Ojha said.
Addressing a discussion programme on the present situation of malaria in Nepal organised by the Health Journalists Association of Nepal (HEJAN) here today, he said that the division has recorded 1,800 cases of malaria during the last six months. According to him, a total of 2,600 cases were recorded in the corresponding period last year.

"The situation is not that critical. We were concerned whether the fever was due to Falciparum malaria, which is much more complicated than other types," he said.

Regarding the recent cases of high fever among a large number of people in Chitwan and Kanchanpur, he said the preliminary report of the 100 blood samples sent to Bangkok for laboratory test has not shown the cases of malaria.

He said arrangements have been made for medicines to treat malaria patients in villages.
Malaria is found in 66 districts of the country, of them, 12 highly affected.Public health expert Dr. Mathura Prasad Shrestha pointed out the need for an effective system to diagnose the epidemic.
"Since malaria cannot be eliminated, the government has to provide prompt and free treatment to the patients," former Health Minister Dr. Shrestha said.

He also emphasised the need to adopt a holistic approach to control the disease. "We should not rely on insecticides to control malaria because they are hazardous to environment and health," he said.
Presenting the laboratory results of 228 fever patients from different parts of the country, Dr. Jeevan Bahadur Sherchan of TU Teaching Hospital said four different types of malaria prevail in Nepal.
As per the results, 55 were the victims of malaria, 61 typhoid, 83 parasitological fever, and 5 kal-azar.
Dr. Sherchan said that the serious type of malaria were found among those who have returned homes from India, Saudi Arabia, Papua New Guinea and the Philippines.

Raj Kumar Pokharel, senior public health officer, said that the disease has re-emerged because of lack of awareness among the general people and the resource constraint.

Pokharel, however, said the epidemic has decreased by 50 per cent in Danusha for the last three years. "This is because of health education," he said.

He further said that the disease could be controlled significantly when the people are alert against the mosquito bite. He said a partnership programme will be launched in three most affected districts as pilot project to control the disease.

At the recommendation of the World Health Organisation (WHO), DDT powder was spread in the malaria-affected districts in the 60s and 70s. Thanks to the anti-malaria drive supported by the United States Agency for International Development (USAID), epidemics of malaria and kal-azar were almost under control. But the diseases re-emerged since mid 80s. The government has stopped spraying of DDT since 1991.


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