The new government has agreed to release 700 jailed Maoists, while the Maoists have agreed to peace talks with the new government. The Maoists have also agreed to a ceasefire, but are not giving up any of the areas they control, or halting their extortion and recruiting activities. The peace talks will no doubt entail more Maoist demands which, if not met, will see a resumption of the fighting. There is a faction in the Maoist movement that is willing to settle for less than complete victory (the establishment of a communist dictatorship), but this faction has been shoved aside in the past year.
May 3, 2006: The new government announced a ceasefire.