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Maoist rebels in Nepal give up demand for a republican state

Maoist rebels in Nepal have formally given up their demand for a republican state and the abolition of the monarchy in the Himalayan kingdom.

But they are insisting on a new constitution and the creation of an interim government.

After waging an insurgency for the past five years, Maoist leader Prachanda said in a statement that the party has decided to drop the demand for a republican state during the forthcoming talks with the government.

The government accuses the rebels of continuing to extort money from businesses and schools and abusing those who refuse, despite an agreement at a first round of talks in August, to cease all acts of violence.

A second round of talks was held in a resort at a jungle resort at Bardia, 500km west of Kathmandu.

The rebels have fought since 1996 to replace Nepal's constitutional monarchy and democracy with a communist republic.

More than 1,800 rebels, security personnel and civilians have died in the fighting.

12/11/01 4:45:55 | ABC Radio Australia News

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