Nepal PM says peace move a gamble

Mr Koirala warned that "reactionary forces" could derail the agreement

Nepal's Prime Minister, Girija Prasad Koirala, says he took a major political gamble joining hands with the Maoist rebels, but the result was worth it.

The rebels signed a peace deal with the government at midnight on Tuesday to restore peace in the Himalayan kingdom.

The deal will see the Maoists join an interim government within a month.

Nepal's rebel leader, Prachanda, has said the Maoists will use politics, not violence, to "meet the aspirations of the people's longing for peace".

Over 13,000 people have died in the decade-long insurgency in the country.

But correspondents say that a mood of optimism now prevails, with political activists, Maoists and the general public all celebrating Wednesday's landmark peace deal.

Confident

"It was a big political gamble, but I always believed that we had the responsibility to bring a non-democratic force into mainstream politics," Mr Koirala said in parliament on Thursday.

Rebel leaders spent weeks negotiating with the government

The BBC's Surendra Phuyal says that celebrations are now being staged across the country, with huge crowds of people lighting candles and traditional oil lamps while chanting pro-democracy slogans.

Our correspondent says that while the Maoists appear to be at the forefront of such celebrations, ordinary people are also joining in.

A large Kathmandu rally planned on Friday by the Maoists before the agreement was signed has now been cancelled.

The rebels were accused by human rights groups of coercing people in the city into providing shelter and food to thousands of rally participants - allegations which they denied.

As part of the peace deal, Maoist rebels will lock up their weapons which will then be monitored by the United Nations.

People of Nepal have waited for years for peace

Mr Koirala said he was confident the decade-long insurgency was nearing its end.

"Even the international community believed that a conflict could not be resolved so soon," Mr Koirala told cheering parliamentarians.

But he warned that some "reactionary forces" still could try to hamper the peace process that is supposed to culminate in elections next year.

Mr Koirala also appealed to Maoist rebels to respect the agreement and create a "climate without fear".

Path of negotiation

Maoist leader Prachanda, has applauded the deal, though he warned that "the road ahead was tough".

"Our experiences have shown we could not achieve our goals through armed revolution so we have chosen the path of negotiation and formed an alliance with the political parties," Prachanda told a news conference in Kathmandu after the accord was reached.

India described the agreement as a victory for the people of Nepal. The United States welcomed the deal but warned its success depended on how it was implemented.

People in Kathmandu hoped the accord would bring peace, but some expressed scepticism about the rebels' intentions.

In one suburb, hundreds of people stopped traffic and burned tyres shouting slogans against the rebels.

Simple majority

The thorny issue of the future of the already disempowered monarchy will be determined at the first gathering of a constituent assembly due to be elected by next June.

The institution's fate will be decided by a simple majority.

Nepal's transitional government will be formed at the beginning of December.

Before that, parliament will be expanded to take in 73 Maoist members, only two fewer than the biggest party, the Nepali Congress.

Before the assembly election the rebels will be confined to seven camps. They will keep the keys to their weapons but will be separated from them and the locks will be closely monitored by the UN.

The Maoists entered into negotiations with the government after a popular uprising in April forced King Gyanendra to end his direct rule and appoint a multi-party government.