Nepal’s Maoists declare 4 autonomous states as dispute deepens

Dec. 14 (Bloomberg) -- Nepal’s Maoists declared four autonomous states in the Himalayan nation and planned more general strikes as a political dispute delaying the writing of a new constitution intensified.

The coalition government condemned the move by the Unified Communist Party of Nepal (Maoist) and said such protests were obstructing the nation’s peace process, Nepalnews.com reported.

The Maoists pledged to boycott parliament and disrupt daily life in Nepal after the president in May overturned a decision to fire the army chief, who refused to accept former rebel fighters into the military.

Strikes are choking the Himalayan nation’s $9 billion economy and growth may slow to 3.8 percent this year from 5.3 percent in 2008, according to theAsian Development Bank. A general strike is planned Dec. 20-22, Nepalnews.com reported.

The Maoists yesterday declared two areas in the country’s west as autonomous states, following two similar declarations in the east last week, Nepalnews.com reported. Prime Minister Madhav Kumar Nepal said the move would “invite political confrontation” and urged the Maoists to withdraw the decision, according to the Web site.

The former rebel party plans to declare 13 autonomous states based on ethnicity and region by Dec. 18 as a “symbolic” gesture, the Kathmandu Post reported last week.

The Maoists fought a 10-year insurgency to overthrow the monarchy in the landlocked nation sandwiched between India and China before disarming under a United Nations-backed peace accord in 2006.

Dahal Resigns

Maoist leader Puspa Kamal Dahal became prime minister in August 2008 after his party won most seats in parliamentary elections. He resigned in May after President Ram Baran Yadav overturned his decision to dismiss Army Chief of Staff Rookmand Katawal. The army has resisted integrating former rebels, a condition of the peace accord, saying they’ve been politically indoctrinated.

The Maoists are demanding that the president, who oversees the military, accepts the dismissal of the army chief, who has since retired, the Associated Press reported last month. They say the president acted unconstitutionally and want the present government to be disbanded, followed by the formation of a new coalition government led by them, AP said.