If you can't clean up the painted edge, you could always add a 1x3 piece of wood as molding. You can even carry it up to the ceiling to frame that wallpaper. I don't see that paint color in the wallpaper, or maybe it's a lighter version of the flower centers. Maybe stencil on a design using the darker color, or another color from the wallpaper to help tie it together. Then narrow floating shelves or vertical frames or something in the painted areas it you feel you need it. Maybe turn the bed around so the wallpaper is the headboard.

Cost is a factor also between papering and paint. 20 years ago, I painted and wallpapered everything myself. 10 years ago when I moved and bought a condo, I hired the papering and I did the painting. Last year when I downsized, my handyman and I just did the painting. No paper. I have found that at my age papering is too much for me. When I get down I can't get up and when I am up it feels too good to get down :>)

that is what i have added if you can see the pic above.. want some suggestions on partition that i can use between dining and sitting

Yep, I agree it's nowhere near Scandinavian. Although I tried hard to emulate it with the resources I had and conflicts with other family members, but oh well. But I'm trying to emulate the Scandinavian theme at least in the paint job. Do you think if I somehow achieved it at least in paint job it won't look good? I really like the color scheme of Scandinavian design. Edit: I really like the minimalism and coziness scandinavian design provies. Although, I do have to mention that I didn't mean to say that the photos that I've posted are necessarily scandinavian. I was just talking about the colors especially the white color.