Managing differences in NC-UML coalition

Two months after the formation of the new government under the coalition of CPN-UML and Nepali Congress, a cross-party committee has been set up to create a common program. The committee members are Bishnu Rimal and Pradeep Kumar Gyawali from the UML and Prakash Sharan Mahat and Gagan Kumar Thapa from the NC.

This decision to draft a common minimum program comes after extensive talks between Prime Minister and UML Chairperson KP Sharma Oli and NC President Sher Bahadur Deuba. The current coalition is also supported by four fringe parties, Janata Samajbadi Party, Loktantrik Samajbadi, Nagarik Unmukti Party and Janamat Party, the latter of which has not joined the Cabinet. Both UML and NC leaders acknowledge that a common policy should have been developed shortly after the power-sharing agreement was signed. Now, even after two months, it appears that there has been little meaningful dialogue about the coalition’s priorities.

The only official agreement between the UML and NC so far is a brief seven-point document signed by Oli and Deuba on July 1 midnight. According to NC leader Mahat, the core elements of the coalition’s program focus on good governance, economic development, and constitutional amendments, but little progress has been made. Despite earlier promises to advance constitutional amendments, there have been no discussions on this issue.

Without a unified policy document, differences between the parties are becoming more visible. For instance, Prime Minister Oli and Foreign Minister Arzu Rana Deuba differ on foreign policy. Rana has stated that Nepal will only implement China’s Belt and Road Initiative (BRI) after thorough consultations, a stance she has communicated to Beijing. Oli and Deuba are also not on the same page on matters relating to India. If the coalition fails to establish common positions on major foreign policy issues, it could lead to tensions. Similar divisions have emerged within key ministries, such as Home Affairs led by the NC and Finance led by the UML.

Over the past two months, no significant disputes have arisen between the NC and UML, but the absence of a common minimum program has left ministers unable to effectively carry out their duties. Last week, NC President Deuba publicly stated that there are no fundamental differences between the two parties on key national issues. He acknowledged that while they remain political competitors, any disputes will be resolved through dialogue and negotiation.

In another recent development, both parties have agreed not to form an electoral alliance with the CPN (Maoist Center) in the upcoming elections, which has fostered a sense of trust within the coalition. However, Oli and his supporters claim that both internal and external forces are already conspiring to remove him from power. Leaders from both parties recognize that managing potential conflicts between them will be a major challenge. A few days back, speaking at a party meeting, Oli expressed frustration that the NC is not fully defending the government, and some fear that anti-Deuba factions within the NC may not support the coalition.

Notably, NC General Secretaries Thapa and Bishwa Prakash Sharma, and senior leader Shekhar Koirala have openly criticized the government for its failure to improve public services and address corruption scandals. They have also launched efforts within the NC to prevent Deuba from becoming Prime Minister again. There are fears that internal dynamics of NC could pose a threat to the sustainability of the current government.

During a recent NC Central Working Committee meeting, Sharma urged Deuba to refrain from seeking the prime ministership, but Deuba dismissed the suggestion. The UML is closely monitoring these developments within the NC. In recent months, the government has struggled to operate effectively, and this slow pace has caused frustration within both the NC and UML. Despite ambitious agendas, many ministers are finding it difficult to deliver results, while the main opposition, the Maoist Center, is threatening to hit the streets against the government.