Wednesday, April 26 2006 14:29 Hrs (IST) - World Time -

Kathmandu: Nepal's veteran politician G P Koirala, named by opposition parties to head a new government, today said he wanted to be elected as Prime Minister by Parliament after its reinstatement on Friday.

Indian Ambassador to Nepal Shiv Shanker Mukherjee called on the 81-year-old leader and discussed the current political developments in the Kingdom, sources at the Indian Embassy said.

India is planning an economic package for Nepal which is passing through severe economic crisis due to the three-week long general strike and ongoing insurgency. Sekhar Koirala, leader of Nepali Congress (NC) said that his uncle G P Koirala wants that he be elected as Prime Minister in Parliament rather than picked up by the King for the post.

Now Parliament exists and it has its own procedure to elect Prime Minister, he said. The veteran politician was named to head the new government by the seven-party alliance yesterday after King Gyanendra announced restoration of parliament he had dissolved in 2002.

As Maoists, who have rejected the King's proclamation, today blocked key highways in various parts of the country, G P Koirala urged them to withdraw their protests.

"I call upon CPN-Maoists to withdraw their protests including, economic blockade targeting Kathmandu and district headquarters, as it would cause inconvenience to the people, he said in a statement.

Koirala said the agitating parties have already called off the general strike and withdrawn all protest shows.

"The revived Parliament should decide about making Constituent Assembly election as its main agenda based on the SPA's road map and the 12-point understanding we reached with the Maoists," he said.

He also admitted that the agitation succeeded due to the mass participation of the people on the basis of the parties' road map and the Maoist-parties pact.

The Seven Party Alliance, which reached a 12-point understanding with the Maoists five months ago, has already started informal talks with the rebel leaders, Koirala said. "We have been constantly in touch with the top rebel leaders," he said adding but formal talks will begin after the Parliament summons.

"The Next government will be an all-party one that can handle the current political crisis, even if the NC commands clear majority," Sekhar Koirala said.

The 12-point understanding reached with the Maoists will be implemented after Parliament session is convened, Nepali Congress (Democratic) general secretary Bimalendra Nidhi said.

"The Parliament will call Maoists for dialogue and chalk out the procedures to go for a constituent assembly election," he added.

Though Maoists have rejected the Royal Proclamation, after the Parliament decides to go for the Constituent Assembly, their key demand, the rebels should join the mainstream, he said.