Small majority favours keeping existing panchayat system. King agrees to allow direct elections to national assembly but on a non-party basis. Street protests suppressed by security forces resulting in deaths and mass arrests. King Birendra eventually bows to pressure and agrees to new democratic constitution. Girija Prasad Koirala becomes prime minister.
New elections lead to formation of Communist government.
Continuing political instability as Prime Minister Sher Bahadur Deuba is defeated and replaced by Lokendra Bahadur Chand. Chand is then forced to resign because of party splits and is replaced by Surya Bahadur Thapa. Thapa stands down because of party splits. GP Koirala returns as prime minister heading a coalition government. Krishna Prasad Bhattarai becomes prime minister.