Last updated: November 27, 2023
Introduction
On February 20, 2022, Nepalese protesters threw rocks at police forces in riot gear to forcefully oppose a grant proposed by US infrastructure aid agency Millennium Challenge Corporation (MCC). This grant would provide the country $500 million to fund a 300-kilometer (187-mile) electricity transmission line and road improvement project. The Minister for Communication and Information Technology Gyanendra Bahadur Karki stated that this could aid 24 million people. However, critics from the Nepali Communist parties claim that this grant will violate Nepal’s laws and sovereignty. Lawmakers believe they would not have sufficient oversight of the board directing the infrastructure project. In response to the controversial program, Nepalese media reported that U.S. officials threatened Nepali politicians to support the program or risk the United States reevaluating its relationship with the country, to which China was quick to respond. Their foreign ministry spokesman, Wang Wenbin, proclaimed that development cooperation should "come with no strings attached."
This latest effort of conditional aid is another example of how developed nations are able to coerce developing nations into submitting to their power. As the gap between developed and developing countries grows, developing countries are struggling to keep up with their wealthier counterparts. In the end, developing countries are forced to choose to either grovel under the developed nations’ ever-growing influence or sacrifice progress for independence.
International Law
International law consists of rules and principles governing the relations and dealings of nations with each other, as well as the relations between states and individuals, and relations between international organizations. Developed countries use international law in their favor by writing them without the input of developing nations. As a result, international law does not represent developing countries’ interests, making development more difficult. As B.S. Chimni writes in his manifesto, “International law is playing a crucial role in helping legitimize and sustain the unequal structures and processes that manifest themselves in the growing north-south divide.”[1] With international laws written in favor of developed nations, developing countries feel compelled to obey these laws or risk being left out of opportunities that could help them prosper.
Regarding the MCC in Nepal, US officials pressuring Nepali politicians may be violating international law in order to advance U.S. interests in the country or region. Under Resolution 43/51 passed by the United Nations General Assembly, “it is the duty of States to refrain in their international relations from military, political, economic or any other form of coercion against the political independence or territorial integrity of any State.” However, when the news broke about the U.S.’ tactics, the United States accused external actors of spreading misinformation while touting the benefits of MCC for both Nepal and the United States.
Nepal and the MCC
Developing countries have a choice: conform or resist. If they conform, there is a chance they lose their autonomy. If they resist, they do not receive the aide required for the development. In Nepal, opposition to the MCC argues that accepting the project would undoubtedly draw Nepal into the US-China rivalry as some suspected the MCC was part of the US’s Indo-Pacific Strategy, the US version of China’s Belt and Initiative and move to counter China’s influence in the region. Other opposition voices believe that a parliamentary vote is required to ratify the deal. However, supporters of the MCC see the grant as an opportunity to bring easy, interest-free money for their country’s development. Supporters of the development project even believe there should not be a parliamentary vote, as it would delay the project. However, it is difficult to seeing the MCC as beneficial due US officials pressuring Nepali government to accept the deal as it is.
Conclusion
Developing countries face pressure to accede to the whims of developed countries. Through leveraging international law, developed nations are able to force developing nations to conform or face resistance. This pressure from the United States on Nepal is just the latest example of this trend.
If developing countries want to protect themselves, they must reform international law to balance the representation of interests
[1] Chimni, Bhupinder S. "Third world approaches to international law: a manifesto." In The Third World and International Order, pp. 47. Brill Nijhoff, 2003.
Sabin Manandhar is a recent graduate of George Washington University with a major in Political Science and a minor in International Affairs.
