DEMOCRATIC REPUBLIC OR PEOPLE’S REPUBLIC? by Harry Powell

Democracy and Class Struggle is pleased to publish a report from comrade Harry Powell in Nepal.

The Communist Party of Nepal (Maoist) is engaged in a sharp two line struggle over the way forward for the Nepalese people. On one side are those, such as Comrade Kiran, who want to proceed rapidly to the establishment of a new democratic type of regime.

On the other side are those such as Comrade Prachanda, Party Chairman and Prime Minister, who seem to be envisaging a fairly long period of bourgeois parliamentary democracy which could eventually lead to some sort of new democracy.

Prachanda has been proposing that some of the other communist groupings, who opposed the People’s War, merge with the CPN(M) to form a new Communist Party of Nepal. Some other leading comrades are vigorously opposed to such amalgamations.

A Party Conference to debate these issues commences on 6th. November.We should be careful of trying to understand contemporary political developments in terms of making crude historical analogies with past conjunctures. But on this occasion it might be useful to make some comparisons with the situation in Russia in 1917.A prominent comrade said to me that while the Maoists have formed a government, they do not yet have state power.

One major issue is the question of the integration of the Nepal (formerly Royal) Army with the People’s Liberation Army. The Nepal Army commanders and the reactionary Nepali Congress party are opposing such a change. They say that PLA personnel could apply to join the Nepal Army. This is unacceptable to the CPN(M) who want full integration on a basis of equality.This particular issue highlights the fact that in Nepal today there is a situation of “dual power” rather like the one in Russia between February and October 1917.

Then there was a bourgeois liberal government presiding over the old Tsarist state apparatus but at the same time the Soviets (councils of soldiers, workers and peasants) had arisen and exercised considerable popular power. In Nepal although as a result of the Constituent Assembly elections the CPN(M) have formed a minority government, the rest of the old reactionary state apparatus remains in place. The Nepal Army, the police and the civil administration remain unreconstructed.

Counterposed to this is the continued existence of the PLA, the militant Young Communist League and strong Maoist-led trade unions. The key issue in Nepal is whether or not the old army and police can be neutralized or dismantled. Otherwise there is the danger of a military coup at some point.

Another parallel with 1917 is that “Menshevik” and “Bolshevik” factions seem to emerging within the CPN(M). On the one hand are those who see the future of Nepal in terms of a fairly long period of capitalist development which could eventually lay the basis for socialist transformation. On the other hand are comrades who want capitalist economic development to be closely supervised by the state and to fairly quickly start implementing socialist developments.

A positive feature of these controversies is that the Party’s two-line struggle is out in the open. There is no attempt to impose “monolithic unity”. Unity comes through struggle.

Prachanda and Khanal of UML agree to form special cabinet committee on army integration processs

Photo Khanal UML leader

At the meeting between Prime Minister Prachanda' and general secretary of Unified Marxist Leninist (UML), Tuesday morning, the two leaders agreed to form a special cabinet committee at the soonest to carry out the army integration process.

According to Minister for Peace and Reconstruction Janardan Sharma Prabhakar, the two leaders agreed that the committee would start the process of integrating the army at the earliest.

He said that PM Prachanda will meet with leaders of other coalition partners to finalise the composition of the committee. At the meeting between PM Prachanda and Khanal, they had agreed to bring in opposition party and experts also in the committee.

Meanwhile, at the meeting, the two leaders agreed to bring the situation in Dhading district to control. They agreed to ask their respective youth cadres to back down. The situation in the district remains tense due to clashes between cadres of Maoist-affiliated Young Communist League (YCL) and UML-affiliated Youth Force

Mohan Baidya and Prachanda debate future of Nepal Revolution at Central Committee Meeting

KATHMANDU, Oct 18th - A 'dissent' paper, proposed by senior Maoist leader Mohan Baidya during the party's recently held Central Committee (CC) meeting, has revealed serious ideological differences between two factions in the CPN-Maoist. While Baidya roots for a "people's republic", Prachanda is for a "democratic republic."

Baidya's proposal carries some weight. The party CC couldn't defeat it. Neither did it endorse Prachanda's paper, which remains committed to the current democratic republic for now. Prachanda's proposal sees a people's republic as a long-term goal, with a "pro-people" constitution as a transition toward that end. In contrast, Baidya stresses that the party must opt for a people's republic with immediate effect.

Baidya's proposal, backed by senior leaders CP Gajurel, Ram Bahadur Thapa and Matrika Yadav among others, advocates state-controlled political and economic systems and says that the state must have strong control over all economic resources. A party CC leader says the state cannot provide justice to all marginalised classes like farmers, labourers, the dalit and the janajati until it has full control over all economic resources.

Further elaborating on the Baidya proposal, the CC leader said the proposal argues that all economic activities, such as industries, must function under direct regulation by the state. "This is how the state can be socialist and dispense justice to all sections of society," he said.

Stressing that the party fought the decade-long war for a people's republic, Baidya argues that the party cannot undervalue the loss of hundreds of party cadres for the cause.

On the political front, Baidya's proposal states that there will be a multi-party democracy but it will not be a parliamentary one. The proposal says various political parties will be free to compete among themselves but they will function only within the norms and guidelines set by the state.

"The underlying meaning of the proposal is that there will be a single major political party in the centre and all other political parties will compete under norms set by the major political party," the CC leader said. "But we are still open to discussing the structure of the political system."

He said the high number of political parties in developing countries poses a hurdle in the development process. "If there is only one major political party in a developing country like ours, we will be free from horse-trading and all other types of political malaise."

Members of all the party's 11 state committees are currently studying both proposals. Some 800 members of the committees are expected to choose either one of the proposals during the party national cadres' conference, scheduled for the second week of November.

"I am sure the cadres will choose Baidya's proposal as it reflects the true aspiration of our decade-long struggle," the CC leader said.

Although he declined to say exactly how many members in the party's 35-member central committee are in favour of the Baidya proposal, he said the party leadership cannot just brush it off, considering its long-term implication for a party with a revolutionary history.

"We hope the party leadership will incorporate the dissenting proposal before presenting a final political paper during the national cadres' conference," he said. "If it fails to do so, major change in the party organisation including its leadership cannot be avoided as a majority of party cadres do not want to give up their long-cherished dream of a people's republic."

The Baidya faction, also known as the hard-line faction, has opposed Chairman Prachanda's recent remark that the party is not in favour of a people's republic, and Prachanda's is desperately trying to consolidate his base, party insiders say.

Prachanda's nervousness can be judged by his frantic efforts to unify his party with the CPN-Unity Centre (Masal). General Secretary of Unity Centre (Masal) Narayan Kaji Shrestha, who played a key role in the past in forging an alliance between the seven political parties and the Maoist, is known to be close to Prachandal. Party insiders say Shrestha has set the condition that after unification the Maoist leadership must be ready to remove all adjectives from the name of the party and rename it the Communist Party of Nepal.

Prachanda and another powerful party leader, Dr Baburam Bhattarai, have agreed to Shrestha's demand. But Baidya, sensing Prachanda's intentions, is strongly opposed to it, according to this story.

New recruiting standards will be set for PLA's entry into army: Defense Minister

Defense Minister and senior Maoist leader Ram Bahadur Thapa has said the members of People's Liberation Army (PLA) will join the national army not under the exiting recruiting standards of Nepal Army (NA) but under new standards set by the yet-to-be-formed special committee.

Speaking at the Reporters Club on Saturday, Thapa said the requirements for joining the national army for PLA men should be changed in view of the current "extraordinary political situation" in the country.

He said that since the modality of 'integration' between NA and PLA is yet to be agreed upon at the political level, his party is ready to discuss all the options involving this issue.

Apart from the national army, the PLA men could also be inducted in Armed Police Force, Nepal Police or the proposed Industrial Force, the minister said, adding that the Maoist party would not force any PLA member to join the army or any particular force.

Thapa also took the opportunity to lash out at the main opposition Nepali Congress and other parties for raising objection to what they describe as the Maoists' bid for a full-scale merger between the NA and PLA. "The views of the parties are against the peace agreement," Thapa said

Mohan Baidya, said there are no plans to change the party name

Photo Mohan Vaidya being welcomed after release from prision in India

Hours after Finance Minister and Maoist leader Dr Baburam Bhattarai told journalists that his party is mulling to change its name, another senior Maoist leader, Mohan Baidya, said there are no plans to change the party name, and that Bhattarai would have to furnish clarification regarding his statement.

Speaking at the Reporters Club Friday Baidya, of the Maoist party, claimed that the party is not going to shed its 'tag name' [Maoist] in near future.

Baidya said Bhattarai would be asked to clarify his remarks during the next party meeting. "Those were Bhattarai's personal views," he said, resenting Bhattarai's publicly statement "on an issue which has not been decided".

Stating that there are clearly two lines in the Maoist party, Baidya however refuted speculation that the internal dispute might lead to a split, and claimed that party would be further consolidated and united.

Meanwhile, talking to journalists in Nepalgunj today Prime Minister Prachanda revealed that he had proposed to change party's name two years back and that the issue is under discussion.

Prachanda also stressed the need to induct most Maoist combatants into Nepal Army and warned of "dire consequences" if obstacles were put in the process of army integration.

Similarly, Baidya mentioned that some PLA personnel would be inducted into
the national army while others will be taken into border security force or industrial security force.

Since the peace agreement has clearly mentioned about the modalities of army integration, it would not matter even if some parties take to streets against the process, he added.

While reiterating the party's line in favour of multi-party system, Baidya said the Maoists' ultimate goal is to establish People's Republic

Major changes in security and administrative bodies afoot: PM Prachanda

Prime Minister Prachanda has said that major changes are being made in administrative and security bodies within a few days.

Though the Prime Minister didn't divulge exactly what changes were being planned he hinted that massive transfers and promotions of senior officials would be made. Concerned agencies have already submitted their lists for such changes, he said.

The PM said this while giving instructions to senior administrative and security officials in Mahendranagar, Kanchanpur district, on Saturday. He said the changes are meant to make bureaucracy stronger and vibrant so it could deliver service promptly.

He also warned of stern action if the government employees failed to act in line with the changed political context and deliver service to the people without delay

Nepal Army ready to take in PLA combatants, says Prachanda

Speaking to a group of civil society activists Thursday, PM Prachanda said the government was working seriously to finalise the modality of integration and that discussions were going on with the army top brass on the matter.

According to him, the integration process will start very soon, after which the drafting of new constitution will begin.

What is the social character of Contemporary China ?

What is the social character of contemporary China ?
Is it capitalist, socialist or some new hybrid of the two?

speaker: Nickglais

Nickglais has visited China in 1983 and lived and worked there from 1992 to 2000 and have frequently visited China since.

Worked in the area of building financial and commodity trading systems. Member of the old CPGB in the 1960's and 1970's but left to join anti revisionist groups.

THURSDAY, 23 RD OCTOBER ,
7 PM BROCKWAY ROOM, CONWAY HALL,
HOLBORN, LONDON

Nickglais has various projects on INTERNET.

These include: Democracy and Class Struggle blog covering Nepalese Revolution. Political Economy Research blog covering Marxist Political Economy ,Democracy and Class Struggle Television on MOGULUS Internet

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Barburam Bhattarai speaks to Washington Times

Even as the onetime Maoist insurgent struggles to modernize the economy of his poor, landlocked Asian nation, the world's greatest champion of free markets and free enterprise is preparing a massive taxpayer bailout of its collapsing stock and credit markets.

"I think the U.S. is moving toward socialism and we are moving to capitalism," he joked in a luncheon interview with editors and reporters at The Washington Times this week.

Mr. Bhattarai, named finance minister in the communist-dominated government that took office in August, said Nepal's relative isolation from the global economy has been a blessing in disguise given the current world financial turmoil. More than two-thirds of Nepal's 29 million people work in agriculture and officials are still trying to rebuild the basics of the economy after a lengthy civil war that resulted in the abolition of the monarchy in April.

"The world economic crisis will affect everybody. Nobody is immune from this," said Mr. Bhattarai, in Washington for the annual meetings of the World Bank and International Monetary Fund.

But he added that the pain may be less for countries like Nepal.

"My own feeling is we are in a periphery economy. Our economy is mostly agricultural and non-monetary, so it is not as integrated with the world economy," he said.

In addition, India, which is by far Nepal's biggest trading partner, also appears to be relatively sheltered from the global economic unrest.

But Mr. Bhattarai said he is concerned that a possible global recession could mean a decline in financial assistance, both from international institutions like the IMF and from individual donors like the United States. The government is seeking nearly $400 million in donor aid to meet its budget plans, he told World Bank and IMF officials over the weekend.

"We have an agenda to develop our industrial economy that we are focusing on," he said. But he said the country wants to promote small enterprise and rural development, a mixed strategy he called "walking with two legs."

He added that Nepal, home to eight of the world's 10 highest mountains, including Mount Everest, is banking on a revival of tourism now that it has achieved political stability.

He noted that even during the worst of the fighting between the government and the Maoist insurgency, "there was not a single foreign national who was harmed."

The IMF last week forecast economic growth of 5.5 percent for Nepal in 2009, far below the double-digit growth rates of other Asian tigers in recent years, but above the estimated 3 percent to 4 percent growth for 2007 and 2008 as Nepal emerged from more than a decade of civil strife.

Mr. Bhattarai said the government's new budget has established six development priorities: agriculture, hydro- power, infrastructure, education, health and industry.

He acknowledged the government still had reservations about economic globalization and the danger that small, poor countries like Nepal could be dominated by large multinational companies.

"On this issue, we do have reservations, but we need investment, we need capital," he said. "So there has to be a balance."

Located between Asia's two booming superpowers, China and India, Mr. Bhattarai said Nepal was watching closely the strengthening of ties between Washington and New Delhi, including the just-approved U.S.-India civilian nuclear agreement. He said Katmandu has long looked to the United States to counter the pressure it receives from its giant neighbors.

"When the U.S. moves closer to India, it tends to be a bad thing for Nepal," he said. "India's policy [for the region] will be the U.S. policy, and the result will not be a balanced package."

CPN Maoist Name Change

Dr. Bhattarai says CPN Maoist is discussing to drop their party name Dr. Baburam Bhattarai has said that his party is discussing to change their name from Communist Party of Nepal-Maoists.

According to Kantipur daily, he said so when talking with an editor of Washington Times in Washington DC.

When the editor asked if the time had come to change the name of CPN-M as Mao was becoming ‘old’ even in China, Dr. Bhattarai replied in affirmative, and, added, “We are discussing this within the party since past one year. The general convention will make a decision on that.”

He also said that they coined the name CPN-M as it was quite revolutionary when fighting against monarchy.

The Finance Minister is in America to attend the annual meeting of the board of governors of the World Bank and International Monetary Fund.

SOURCES WASHINGTON TIMES AND NEPAL NEWS

Democracy and Class Struggle is aware that as a result of merger talks with other Communist Parties in Nepal there has been discussion of a new name for the merged Communist Party.

However we are of the view that the Communist Party of Nepal Maoist should retain its current name.

Parties have already reached agreement on army integration: NA chief

The chief of the Nepal Army (NA) General Rookmangud Katawal has said that the political parties have already reached agreement on army integration.

"The parties have already reached agreement. Debates and discussions are a part of democratic exercise," he told reporters when asked about his comment on the army integration.

As per the peace pact and other understandings among the parties, the army integration will be carried out through a special cabinet committee, which has not yet been formed.

Different party leaders have differently interpreted the understandings. Parties other than the Maoists have ruled out the "wholesale" integration of Maoist combatants into the national army.

They have said that only those combatants meeting the army standards should be integrated into NA.

Meanwhile, General Katawal said that NA will abide by the law formulated by representatives elected by Nepalese people.