Thousands march in Nepal in support of peace

Thousands of people marched in the Nepali capital today to press the government and Maoist rebels to resume peace talks.

Thousands of people marched in the Nepali capital today to press the government and Maoist rebels to resume peace talks.

More than 10,000 people - including school children and their teachers - began a three-mile silent march after offering prayers at the Martyrs' Memorial in the heart of the city.

The Maoist chief, known only as Prachanda, said on Wednesday that the guerrillas were breaking a seven-month truce and abandoning peace talks after the government refused their demands for a new constitution to define a role of the king.

The rebels have been fighting since early 1996 for a communist republic to replace Nepal's constitutional monarchy in a revolt that as seen more than 7,200 people killed, has shattered the economy and has scared away tourists.

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A day after the truce was called off, suspected rebels killed an army colonel and wounded another in Kathmandu and raided a bank in west Nepal.

Police said the rebels bombed and torched the country residence of Finance Minister Prakash Chandra Lohani, north of Kathmandu early this morning. The house was unoccupied, police said.

The government has asked the rebels to resume talks, it has also declared them "terrorists" - a move which gives sweeping search and detention powers to the army and paramilitary forces.