Nepal’s King Ousts Cabinet, Parliament : Asia: Birendra announces reforms after talks with opposition parties collapse.

King Birendra dismissed his Cabinet and dissolved the National Assembly today, opening the way to a multi-party democracy after two months of opposition protests.

The absolute monarch also announced in a proclamation read on radio that he has dissolved the other main elements of Nepal’s system of government from which political parties were excluded.

The king said Prime Minister Lokendra Bahadur Chand has been dismissed but will stay on in a caretaker capacity.

He did not indicate who Chand’s successor will be, but political sources said it is almost certain that the post will be offered to Ganesh Man Singh, 75, the leader of the opposition Nepali Congress party.

That party and seven Communist factions combined in the Movement for the Restoration of Democracy that spearheaded the sometimes bloody campaign for reform.

“In view of the events that have taken place in certain parts of the country, the people’s aspirations and the ideals of democracy, we have been making political changes,” Birendra said. “There should be a congenial atmosphere where every citizen can enjoy democracy and nobody should be forced to do anything which can run counter to the expression of freedom.”

The royal proclamation came only hours after the collapse of talks between opposition and government leaders over opposition demands for multi-party democracy and a constitutional monarchy.

Hundreds of angry student protesters had camped out around the site of the talks, refusing to let the politicians leave and destroying officials’ cars.

In his proclamation, Birendra made no direct comment on his own role. However, he did announce the dissolution of Nepal’s system of partyless councils, or panchayats . He also dissolved the Panchayat Policy and Evaluation Committee, which oversaw the whole system.

Birendra opened the door for the talks April 8 when he agreed to lift a ban on political parties. He also promised to set up a commission to review the constitution.

Meanwhile, hundreds of Christians on Sunday held an Easter march for religious freedom as they tested the promises of new democracy in this Himalayan nation. The march was the first in recent memory in the world’s only Hindu kingdom, which bans Christian missionary work.