Nepal took its first step toward multi-party democracy on Friday, with its Parliament holding the first meeting in four years. However, G P Koirala, the prime minister designate, could not attend due to ill-health.

The swearing-in of 84-year-old Koirala as prime minister was postponed and might take place on Saturday, depending on his health, Nepali Congress spokesman Krishna Sitouala said.

In a significant move to bring Maoists into the political mainstream, Koirala's Nepali Congress party, on his behalf, tabled a motion proposing a ceasefire with the rebels and elections to the Constituent Assembly.

• Can Nepal's King reconvene Parliament?

Koirala also invited Maoists for a dialogue, Deputy Speaker Chitralekha Yadav said. Maoists, who have been fighting to topple the monarchy for over a decade, want the Constituent Assembly to re-write the Constitution that is likely to strip the King of his power to sack an elected government.

Yielding to large-scale protests against his direct rule after he sacked the Sher Bahadur Deuba government in February last year, King Gyanendra ordered the re-instatement of Parliament on Monday night.

After the King's announcement, the seven-party alliance, which spearheaded an agitation against him, named veteran Nepali Congress ledear Koirala to head the new government. Parliament was dissolved in May 2002 after political wrangling over extending emergency powers to tackle the Maoist insurgency.

Complete coverage: The Nepal crisis