Nepal's government on Thursday signed a peace agreement with a banned radical Maoist group, which was involved in violent attacks, extortion and bombings targeting infrastructure projects in the country.

According to the three-point agreement signed between the government and the outlawed Communist Party of Nepal-Chand, the government will lift the ban, release all their party members and supporters in jail and drop all legal cases against them.

On its part, the rebel communist group will address all its political issues through dialogue and carry out all political activities in a peaceful manner, according to a statement issued by the leaders of both sides on Thursday.

The government banned the CPN-Chand, a faction of the previous Maoist party, in March 2019 after it carried out a series of deadly bomb attacks in the capital Kathmandu.

According to government sources, details of the agreement will be made public on Friday during a programme which would be attended Prime Minister KP Sharma Oli and general secretary of CPN-Chand Netra Bikram Chand, who has remained underground for two years.

Over 2,000 leaders and carders from the CPN-Chand face various charges across Nepal.

The peace agreement comes two days after the government formed a team led by Home Minister Ram Bahadur Thapa to hold dialogue with the radical group. The CPN-Chand had also formed its own talks team led by Khadga Bahadur Biswakarma. PTI