Nepal's Maoist rebels declare unilateral three-month ceasefire

KATHMANDU, Sunday (AFP) - Nepal's Maoist rebels Saturday announced a unilateral three-month ceasefire starting immediately in an effort to aid talks with political parties in the Himalayan nation.

Maoist leader Prachanda said he hoped the truce would create a "conducive atmosphere" for talks with the parties on forming a united opposition against the February seizure of direct power by King Gyanendra.

"During this period, our People's Liberation Army will not launch an offensive," Prachanda said in a faxed statement.

"But if there are any attacks on our side by the army, we will violently retaliate."

Seven political parties formed an alliance in response, and last month they said they would hold talks with the Maoists on forming a broad front against Gyanendra, provided the rebels honour their promise to stop killing civilians.

Gyanendra responded with a renewed offer of dialogue with the political parties but was rebuffed last week by the two largest groups.

Political parties, business leaders and analysts generally welcomed the ceasefire announcement, but they stressed that violence in the country should stop for longer than three months.

Nepal's leading political party, the Nepali Congress, welcomed the ceasefire and said it endorsed a peaceful settlement of the insurgency.

"The ceasefire is the victory of the peace-loving Nepalese people," senior party leader Mahanta Thakur said.

"The move is relevant at a time when a peaceful movement against the autocratic system is going on."