Nepal Prime Minister Prachanda
Reuters

Pushpa Kamal Dahal, also known as Prachanda, resigned as the Prime Minister of Nepal on Wednesday. The chairman of the Communist Party of Nepal (Maoist-Centre) had earlier informed his cabinet colleagues that he was putting in his paper to pave the way for Nepali Congress president Sher Bahadur Deuba to become the next Prime Minister.

On Wednesday, Prachanda announced the decision during a televised address to the nation from his office in Singhadurbar. During the address, he also highlighted the achievements of his government in the past 10 months. He had assumed office as the Prime Minister of Nepal on August 4, 2016. He had also served as the Prime Minister from August 2008 to May 2009.

Prachanda, 62, was earlier expected to announce his resignation during his address to the Parliament on Tuesday, but it was postponed as the Speaker adjourned the House.

Prachanda was the 24th Prime Minister since Nepal's adoption of multi-party democracy in 1990 and the eighth since the abolition of the monarchy in 2008. 

Why Prachanda resigned

Prachanda's resignation means the current regime will continue as a caretaker government until the next one is elected in February 2018. But that does not mean Prachanda has left his country in doldrums. His resignation is actually the result of a pact between him and Deuba.

The pact itself said that Prachanda would continue to be prime minister of Nepal only to ensure that there is a Central government in place when local or civic body elections are conducted across the country. The provincial as well as the Central elections are to be conducted under Deuba. It is this pact Prachanda was honouring when he resigned on Wednesday.