Prime Minister Sher Bahadur Deuba has warned that the five-party alliance will break down if the US assistance project Millennium Challenge Compact (MCC) is not passed in the current session of the House of Representatives.

It is said that Prime Minister Deuba has warned the leaders of the alliance to break the alliance after Congress got a minority vote within the alliance on the issue of approving the MCC from the parliament. Jhala Nath Khanal and Narayan Kaji Shrestha, who were part of the three-member task force formed by the ruling coalition to study the MCC agreement, also said that the MCC agreement could not be ratified by the parliament in the current situation.

Even in the alliance, the Maoist Center, the Unified Socialist Party and the Rastriya Janamorcha are in favor of not moving the MCC forward immediately, while JSP Chairman Upendra Yadav and Baburam Bhattarai are in favor of passing the MCC.

Meanwhile, UML president Oli has said that he will help in passing the MCC if Prime Minister agrees to meet his conditions.

After the then Speaker Krishna Bahadur Mahara, who did not help to take the MCC to Parliament, resigned after accusation of sexual misconduct with an employee of the Parliament Secretariat . After the incident, though Oli wanted to pass the MCC from the parliament by appointing his close aide Subash Chandra Nemwang as the speaker, Agni Sapkota became the speaker with Prachanda’s support, who might still obstruct the passage of the MCC, which Oli believes. Therefore, on the condition of resignation of the Speaker and breaking the alliance, UML has stated that it will help in passing the MCC.The UML has also been obstructing the parliament demanding the resignation of the speaker saying that the speaker had helped in the split of the party without dismissing 14 lawmakers including Madhav Kumar Nepal.