China warned Washington against "coercive diplomacy" on Nepal's MCC

China has responded to a recent remark by Washington's nominee for ambassador to Nepal that the Millennium Challenge Corporation compact was ratified despite China's "disinformation campaign."

The Chinese embassy in Kathmandu said in a statement on Friday that the US remarks were entirely false.

"They have not only defamed China but also Nepal and its people. It is genuine 'misinformation.' China categorically rejects it," reads the statement."

Dean R Thompson said in his opening statement to the US Senate Foreign Relations Committee on Wednesday, "In February, Nepal's parliament ratified the $500 million Millennium Challenge Corporation compact in the face of a torrid PRC [People's Republic of China] disinformation campaign."

According to a spokesperson for the Chinese Embassy in Kathmandu, the MCC compact was endorsed along with an interpretative declaration to ensure that the Nepalese Constitution would take precedence over the compact and other associated agreements and that Nepal would not be a part of any United States strategy, military, or security alliance, including the Indo-Pacific Strategy.

"These are legitimate actions taken by the Nepali government and people to defend their sovereignty and independence, as well as to protect national interests," Wang said. "It is China's consistent belief that in pursuing international development cooperation, the principle of mutual respect and equality should be upheld, as should the sovereignty of the country in question and the will of its people."

The embassy said there should be no interference in any country's domestic affairs, no political strings attached, no coercive diplomacy, and, most importantly, no infringement on other countries' sovereignty and interests for selfish gain.

When the MCC compact was debated in Nepal, China warned Washington against "coercive diplomacy." Beijing's firm position was highlighted when it asked why there was a deadline if the MCC compact was a gift.

"As Nepal's friendly close neighbor and development partner, China will keep supporting Nepal in safeguarding its sovereignty, independence, and national interests, support the Nepali people in choosing their development path independently, and offer support and assistance to Nepal's socio-economic development to the best of its capability," the embassy said.

The House of Representatives ratified the MCC Compact and the interpretative declaration on February 27 this year.