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Part victory, part protest on Nepal streets

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KATHMANDU (Reuters) - Hundreds of thousands of people flooded the streets of Nepal's capital on Tuesday after King Gyanendra announced a deal to end weeks of unrest, but the rally was part victory celebration and part continued protest.
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Gyanendra announced on Monday night that he had reinstated the country's dissolved parliament, meeting a key demand of the seven-party alliance, which swiftly welcomed the decision and called off their protests.

Maoist rebels, who control vast swathes of the countryside, denounced the king's concession as a sham.

On Tuesday, the ring road around Kathmandu turned into a sea of people waving party flags and chanting slogans, some of them heralding the rebirth of democracy, others still angry at the monarch.

Tens of thousands marched into the city center and crowded near the palace, demanding the King leave the country and punishment for those responsible for firing on and beating demonstrators during 19 days of mass protests that left at least 12 dead and thousands wounded.

Rows of riot police blocked the demonstrators less than 500 metres (550 yards) from the palace, but there was no violence.

The crowds made no attempt to break through but tore down metal signboards carrying excerpts from the king's speeches and shouted "Gyanendra, thief, leave the country".

In the evening, police fired teargas to disperse a few thousands demonstrators listening to speeches in a stadium

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Former prime minister Girija Prasad Koirala will head the next government of Nepal, Arjun Narsingh KC of the Nepali Congress has said.

The decision was taken by the seven-party alliance which will spell out its plan for the interim government at a rally in Kathmandu on April 27.

The first challenge before Koirala emerged hours after the announcement, with the Maoists rejecting the king's offer to reinstate Parliament, saying it was a ploy to save his “autocratic monarchy”. Maoist leader Prachanda said they would blockade the Capital.

Prachanda warned of violence against anyone who repressed the protesters, reducing to tatters the 12-point agreement the Maoists had reached with the seven parties late last year.

The Maoists said the “so-called king's address” had failed to address their demand for elections to a constituent assembly that could water down the king’s sweeping powers during emergencies. They said their demand that Nepal be declared a republic had also not been met.

“The alliance, which has welcomed the king's address, has broken the 12-point understanding and breached the aspirations of the Nepali people,” Prachanda said.

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