Opposition Nepali Congress lawmaker says BRI agreement negotiated without parliamentary approval

Opposition Nepali Congress lawmaker Rajendra Bajgain comments on China’s BRI agreement, says ‘this agreement could potentially bind future of the Nepalese governments without proper discussion and transparency’.

Earlier, Sovereign parliament approved the MCC grant which included a general agreement. But the BRI was negotiated without parliamentary approval and did not clearly distinguish whether they were loans or grants but set conditions that raised concerns. This agreement could potentially bind future Nepalese governments without proper discussion and transparency. Unlike BRI ADB/WB loans, Nepal has long-term periods of due diligence and confidentiality.

Loans from ADB/W 40-50 years, the terms of the loan, including both interest rates and duration,B typically have long-term durations of around 40-50 years. The terms of the loan not only include interest rates are important considerations. If the loan rates are fixed but the duration is left unspecified and but also the duration of repayment. If the loan rates are fixed under a new agreement but the duration is later extended to 10-20 years, it could increase the debt service burden on Nepal. left unspecified and later set for a shorter period, it could significantly increase the debt service This may lead to the need for additional loans to repay the original loan, further complic burden. This may lead to Nepal having to take out more loans to repay the original loan. ating the country’s financial situation.