NEPAL'S GOVERNMENT AND MAOIST REBELS WILL BEGIN THEIR FIRST PEACE TALKS IN NEARLY THREE YEARS AT 4 P.M. (1015 GMT) ON FRIDAY, NEGOTIATORS FROM BOTH SIDES SAID. "WE ARE MEETING AT FOUR," MAOIST NEGOTIATOR DEV GURUNG TOLD REUTERS. THE TALKS, AIMED AT ENDING A DECADE-LONG INSURGENCY THAT HAS KILLED THOUSANDS OF PEOPLE, WILL BE HELD AT A LUXURY RESORT ON THE OUTSKIRTS OF THE CAPITAL KATHMANDU. EARLIER, GURUNG WELCOMED THURSDAY'S CABINET DECISION TO FREE HUNDREDS OF JAILED REBELS AND INVESTIGATE CASES OF PEOPLE REPORTED TO HAVE DISAPPEARED AFTER BEING DETAINED BY SECURITY FORCES. "THIS HAS HELPED EASE THE ATMOSPHERE AND BUILD CONFIDENCE," HE SAID. THE FIRST ROUND OF TALKS ARE SUPPOSED TO PREPARE THE GROUND FOR A MEETING BETWEEN REBEL CHIEF PRACHANDA AND PRIME MINISTER GIRIJA PRASAD KOIRALA. HOPES FOR PEACE HAVE BEEN RAISED SINCE A NEW MULTI-PARTY GOVERNMENT TOOK POWER IN NEPAL LAST MONTH FOLLOWING WEEKS OF STREET PROTESTS AGAINST KING GYANENDRA. A CEASEFIRE WAS AGREED EARLIER THIS MONTH. NEPAL'S NEW PARLIAMENT HAS ALREADY AGREED TO A KEY REBEL DEMAND -- THE HOLDING OF ELECTIONS FOR A SPECIAL ASSEMBLY TO DRAFT A NEW CONSTITUTION AND DECIDE THE FUTURE OF THE MONARCHY. BOTH SIDES ARE PREPARING FOR THE VOTE BUT HAVE FIXED NO DATE. THE INSURGENCY HAS CLAIMED MORE THAN 13,000 LIVES AND WRECKED THE ECONOMY OF THE IMPOVERISHED HIMALAYAN COUNTRY. PREVIOUS PEACE TALKS FAILED IN 2001 AND 2003.
