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The government has decided not to participate in the State Partnership Program (SPP) of the United States.

A Cabinet meeting held on Monday made the decision to this effect, Minister for Labor, Employment and Social Security Krishna Kumar Shrestha said.

"The Cabinet has decided not to implement the State Partnership Program," he said, adding, " The United States will be informed about the decision."

At a time when the preparations for the Prime Minister Sher Bahadur Deuba's US visit was going on in full swing, the US State Partnership Program took the center stage in the Parliament after its documents were made public.

The then Chief of Army Staff had written a letter to the United States for participation in the SPP.

But the SPP was not taken ahead after it was placed under the Indo Pacific Strategy.

Earlier, the US embassy in Kathmandu had said that the SPP could be revoked if the government wrote a letter to the United States  asking to scrap the agreement.

Minister for Industry, Commerce and Supplies Dilendra Prasad Badu said that it was the compulsion of the government to jack up the prices of petroleum products.

Speaking at a meeting of the Industry Committee under the House of Representatives on Monday, Minister Badu said that the government has reduced the tax levied on petroleum products by Rs 10 and cannot slash more than that.

Despite the increase in fuel prices, the Nepal Oil Corporation is still facing the loss, leader Badu further said.

He said that the government did not increase the price of Liquefied Petroleum Gas (LPG) so as not to give further stress to the people.

Nepali Congress general secretary duo Gagan Thapa and Bishwo Prakash Sharma held a meeting with party President and Prime Minister Sher Bahadur at the latter’s residence in Baluwatar on Monday.

During the meeting, the duo raised nine issues of the party’s internal, national politics and contemporary issues.

The general secretary duo drew the attention of the Prime Minister towards holding policy convention, Central Working Committee meeting, giving full shape to the departments within June 23 and full shape to the Working Committee of the Nepal Students Union and Tarun Dal at the earliest among others.

In response, Prime Minister Deuba said that he will take the decision after holding discussions with other party leaders.

They also suggested the Prime Minister call the opposition parties for a discussion and develop a common opinion on the State Partnership Program. They have demanded that the government close the chapter of the SPP forever by completing all the due process.

The two general secretaries also drew the attention of the government to the rise in the prices of petroleum products.

Speaker Agni Prasad Sapkota issued a ruling directing the government to respond to the price hike in petroleum products.

The Speaker issued the ruling after the main opposition CPN-UML demanded answers from the government on the rise in fuel prices in the Parliament on Monday.

“My attention has been drawn towards the rise in petroleum products. I want to draw the attention of the government as well. I instruct the government to present the facts on the issue before the Parliament,” he said.

The Nepal Oil Corporation (NOC), the state-owned monopoly, hiked the prices of petroleum products on Sunday.

The NOC has decided to increase Rs 21 per liter each in petrol and Rs 27 per liter in diesel and kerosene.

As per the new revised rate, the petrol will now cost Rs 199 per litre and diesel and kerosene will cost Rs 192 per litre.

The NOC, however, has not increased the price of Liquefied Petroleum Gas (LPG).