KATHMANDU, May 7 (Xinhuanet) -- the United States government will provide Nepal with 40 million US dollars in assistance this year for Nepal's economic development, good-governance, humanitarian services in the conflict affected regions and creation of employment opportunities, a US government official said here Friday.

    "The amount of aid to Nepal might increase if peace and stability are restored in the country," said Donald A. Camp, US principal deputy assistant secretary for South Asian affairs.

    Stressing on the restoration of peace as the first priority of Nepal, Camp noted Nepal's development will take momentum only withthe consolidation of constitutional monarchy and multi-party democracy.

    It has become necessary for the political parties and the government to collaborate to resolve the problems which Nepal was confronted with at present and give up mutual differences for resolving the anti-government guerrillas problem, he said.

    "Nepalese should themselves seek an outlet to the problem," he suggested, adding that outside mediation was not necessary for resolving the anti-government guerrillas problem in Nepal. Enditem