[Marxism] Nepal Maoists to embrace capitalism

["Ruthless Critic of All that Exists" <ok.president+marxml@xxxxxxxxx>]

Nepal Maoists to embrace capitalism
18 Apr, 2008
 TNN


  
http://economictimes.indiatimes.com/News/PoliticsNation/Nepal_Maoists_to_embrace_capitalism/articleshow/2960504.cms

 NEW DELHI: Maoist supremo Prachanda, whose party is poised to form a
 coalition government in Nepal, said capitalism will be the new
 regime's tool for bringing economic advancement.

 Reports from Kathmandu quoting Prachanda said Maoists will promote
 capitalism and encourage foreign investment. This statement is
 expected to soothe the frayed nerves of those who have invested in
 Nepal.

 Mr Prachanda assured industrialists that Maoists were not going to
 nationalise industries at the moment. "We will allow private
 investment and also promote foreign investment. Don't loose
 confidence, we are not going to capture industries, but we need your
 cooperation to gain economic prosperity," he said.

 But industries will have to function under the gaze of the Maoists was
 clear when he said that the new government will provide a force to
 guard industrial establishments. He said the government will "create
 conducive industrial environment to businesses by creating special
 security force with the involvement of Maoist combatants stationed in
 cantonments."

 Prachanda also appealed to the private sector to trust them fully and
 give them a chance saying the government will expand the tax base,
 eliminate red tape and end culture of commissions and corruption.


 http://www.kantipuronline.com/interview.php?&nid=143920

 Q: How can you restructure the state and achieve economic growth in a
 short span of time?
 Dr Bhattarai: What we need right now is political stability. We cannot
 think of rapid economic growth sans political stability. Now the CA
 results have given some hope for political stability. Secondly, there
 must be a strong leadership. Above all, we have yet to start
 restructuring the state. So, how can we think of the economy? The
 30-year-long panchayat system promised us that it would deliver the
 people's needs, but it could not do so as it was a political system
 imposed by the royal regime to serve its own interests.

 The post-1990 parliamentary system created a sort of anarchy. It
 neither had any clear political vision nor could it deliver anything.
 During this interim period, it would be difficult to think of economic
 prosperity. We can only think of economic growth in the post-CA
 period. This mandate has just opened the door to a future Nepal. Now
 the job is to garner the support of all the political parties and
 maintain political stability. This would be the beginning.

 Second, the resources we have include land, water, jungle, herbs and
 people. I do not think that we run short of resources, but we need
 external support for technology and skills. We need foreign
 investments. I am sure if we really work together, we can achieve
 rapid economic growth in a short span of time.

 Q: China has adopted a liberal economic policy. It has achieved
 remarkable economic growth in the past 30 years. To what extent do you
 think we can follow China's model?
 Dr Bhattarai: China eliminated the feudal system during Mao's regime.
 It established a solid foundation for economic growth. We could have
 thought of making rapid economic progress had the country been
 liberated from the age-old feudal system. When you inject new
 technology after the foundation for economic growth has been
 established, you can achieve such development. We don't have such a
 foundation now. Once we restructure the state and involve the private
 sector, it will be possible to achieve rapid economic growth. We would
 implement a transitional economic policy during such an interim period
 which involves public and private partnership.

 Q: Currently we are seeing a pattern of capital flight. How are you
 going to halt this?
 Dr Bhattarai: We can't think of developing this country in the absence
 of domestic and foreign investments. Technological inputs are of equal
 importance. So, we will follow the policy of attracting domestic and
 foreign investments. For that to happen, we have to put an end to
 political instability. From our side, we have to provide security to
 investors and create a conducive environment for domestic and foreign
 financiers. And I also think that we will be able to resolve the
 differences between labor and management. Unless we resolve such
 issues, we cannot create a better investment atmosphere. In a
 nutshell, we recognize the legitimacy of management and the
 participation of labor in management.

 Secondly, we have to identify areas for investment and create the
 necessary infrastructure. We have to focus on productive sectors. We
 don't want to encourage assembly industries. Business activities
 should raise productivity and generate employment.

 Q: You mean the state's involvement in economic activities will
 increase from now on?
 Dr Bhattarai: The state will play the role of facilitator. The state
 cannot intervene in business activities. It will encourage investors
 to raise productivity and generate employment opportunities.

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