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Nepal's Government Cancels Fuel Price Hike
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http://enews.voanews.com/t?r=279&ctl=139228B:A6F02AD83191E160A197F16DA6BEA7099574F7DCC14957C0 Decision follows
protests by hundreds of demonstrators who took to the streets and
fought with police





Police officers try to douse tires set afire by protestors
demonstrating against rises in prices of gasoline, diesel and cooking
fuel, in Katmandu, Nepal, Sunday, August 20, 2006

Nepal's government has withdrawn fuel price increases after two days
of protests that paralyzed the capital, Kathmandu.

Nepalese officials say the decision to cancel price rises for
gasoline, diesel and kerosene was made at Sunday's Cabinet meeting.

Earlier Sunday, hundreds of demonstrators took to the streets and
fought with police but no injuries were reported.  However, several
vehicles were vandalized.

The government of Prime Minister Girija Prasad Koirala raised fuel
prices last week by as much as 25 percent. 

The government said it had to act to reduce losses for the state-owned
Nepal Oil Corporation.  The company has a monopoly over imports and
distribution of oil in the impoverished country.

Some information for this report was provided by AFP and AP.


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