Prachanda says India ready to review 1950 Treaty

New Delhi, Sept 17 : Nepal's Prime Minister Prachanda has said that India has agreed to replace the 1950 Nepal-India Peace and Friendship Treaty with a new one.

Talking to media persons here on Tuesday, Prachanda said that both Nepal and India have agreed to form a joint task force to study and sort out the issues that need revision.

"The joint task force will work out and prepare the draft of a new treaty and amend the existing treaties, and the bilateral relations will proceed in a new way," he added.

Describing his visit to India as 'fruitful,' Prachanda said, "The main thing is that the Indian government has agreed to build up bilateral relations by accepting the new dimensions of political change in Nepal."

"The two countries should create a conducive atmosphere, overcoming the existing skepticism about past treaties and agreements", he added.

He said the Indian leaders also agreed to help Nepal with its infrastructure development and invest in the hydropower sector.

Prachanda said that the Maoists in Nepal were going to experiment with a new democratic system and urged Indian government for support in their mission.

"We have not tried to practice formal parliamentary democracy or a one-party communist dictatorship. We have tried to go ahead with a new democratic system in between the two systems," he said, adding that such a new policy would strengthen the proletariat and the down-trodden communities.

During bilateral talks between Prachanda and Prime Minister Dr Manmohan Singh it was agreed that India would provide Rs 200 million for relief and rehabilitation of Koshi flood victims.

It was also agreed to provide another 60MW power to Nepal to make up for the lost of eclectics one to Koshi floods.

ANI