Kathmandu | Nepal's leading political parties on Saturday described as "unconstitutional" and a "blow to democracy" President Ram Chandra Poudel's decision to dissolve the parliament even as the security situation in the Himalayan nation gradually returned to normal following two days of deadly protests.

After dissolving the parliament following a recommendation by the interim government led by former Supreme Court chief justice Sushila Karki, Paudel also announced that fresh elections will be held on March 5 next year and sought cooperation from all political parties.

In a statement, the president urged all concerned stakeholders to utilise the "hard earned opportunity" to conduct the election on time and safeguard the interests of the people.

Karki, 73, was sworn-in on Friday night as Nepal's first woman prime minister, ending days of political uncertainty after the abrupt resignation of PM K P Sharma Oli this week following wide-spread anti-government protests against a ban on social media and alleged corruption.

Oli quit on Tuesday shortly after hundreds of agitators entered his office demanding his resignation. More than 50 were killed in the nation-wide protests.

Almost all leading political parties including the Nepali Congress, Communist Party of Nepal (Unified Marxist Leninist) and Communist Party of Nepal (Maoist Centre) slammed the decision to dissolve the parliament.

"This move to dissolve parliament is against the spirit of our Constitution and the interpretation of the Supreme Court. It is absolutely unconstitutional," the Nepali Congress said in a statement.

The parliament was dissolved with effect from 11 pm on September 12, according to a notification issued by the President's Office.

Even as political temperature remained high in Kathmandu, the country gradually moved toward normalcy with authorities lifting curfew and restrictive orders.

The United Nations and neighbouring countries India, Sri Lanka and Bangladesh offered support to PM Karki in congratulatory messages.

Indian Prime Minister Narendra Modi congratulated Nepal’s interim PM Sushila Karki on assuming office, calling her appointment “a shining example of women empowerment”.

Modi also lauded the resilience of the Nepali people, noting how citizens, especially young men and women, were taking part in cleaning and painting buildings in the past few days, amid political turbulence.

Hanna Singer Hamdy, UN Resident Coordinator in Nepal, said that the global body stands with Nepal at this pivotal moment.

“At this pivotal moment, the United Nations stands alongside the people of Nepal in their aspirations for peace, justice, transparency, accountability and progress,” Singer said in a statement.

Sri Lankan President Anura Kumara Dissanayake congratulated Karki and said, “We are confident that her leadership will guide Nepal towards a smooth return to lasting peace and democracy.”

In a message to PM Karki, Chief Adviser of Bangladesh Muhammad Yunus

said “Your assumption of this high office, at a critical and challenging time is a reflection of the trust and confidence reposed in you by he people of Nepal.”

Meanwhile, a Nepal Army spokesperson said, “There are no restrictive orders or curfew on Saturday.”

Shops, grocery stores, vegetable markets and shopping malls reopened after days of closure, while traffic began to flow back on the streets.

Cleaning drives were launched at several places, including key government buildings that were vandalised and set on fire by agitators during the recent wave of violent protests.

Seen as a positive gesture, Prime Minister Karki visited the Civil Hospital in Baneshwor area of Kathmandu, where dozens of people injured during the agitation are undergoing treatment.

It is learnt that Karki will form a small Cabinet on Sunday.

Karki will hold some two dozen ministries, including Home, Foreign Affairs and Defence, according to sources.

As the Prime Minister’s Office in Singhdurbar Secretariat was set on fire during the two-day agitation, the newly-constructed building for the Home Ministry within the Singhdurbar complex is being prepared for the Prime Minister’s Office, the sources said.

The agitation, which began on Monday against a government ban on social media, quickly expanded into a larger campaign reflecting public anger over corruption and perceived apathy of the political class.

K P Sharma Oli quit on Tuesday shortly after hundreds of agitators entered his office demanding his resignation for the death of at least 19 people in police action during Monday's protests.

Nepal police on Friday said that at least 51 people, including an Indian national, died in the 'Gen Z'-led protests.

In a related development, Nepal’s hotel industry invited tourists back to the Himalayan nation as the situation normalises.

Nepal’s hotel industry urged the government to implement “confidence-building measures” for the sector after suffering a loss of NRs 25 billion during the Gen Z protests.

“We need some tax exemption on building materials, a guarantee of security and confidence-building measures on the part of the government,” said Binayak Shah, president of the Hotel Association of Nepal, on Saturday.

He said, as the situation has improved with the restriction orders and curfew lifted, “Our industry will operate in full swing soon and we will rise again.”