Subsequently, a new government was formed by the Alliance of Seven. Parliament and the new government supported the ceasefire and began negotiations with the Maoists on the basis of the 12-point agreement. Both sides agreed that a new constituent assembly would be elected to draft a new constitution and decide the fate of the monarchy. The Maoists wanted this process to end with Nepal becoming a republic.  9.4. The National Commission on Human Rights is also carrying out work on the monitoring of human rights, as stated in this Agreement, as well as the responsibility entrusted to it by law. As part of its work, the Commission can benefit from the assistance of national and international human rights organisations after maintaining the necessary coordination with them. Both sides agreed to adopt the policy and a programme of political, economic and social change and to respond in the affirmative to the conflict in the country: in late 2004 or early 2005, relations between Prachanda and Baburam Bhattarai had calmed down.  This is believed to be due to differences of opinion on power-sharing within the party. Bhattarai was dissatisfied with the consolidation of power under Prachanda.
At one point, Prachanda Bhattarai was expelled from the party, but was later reinstated.  Later, they reconciled at least some of their differences.   On 16 June 2006, Prachanda met with Prime Minister Girija Prasad Koirala, who was supposed to be his first visit to Kathmandu, the capital, in more than a decade.   This meeting resulted in the comprehensive peace agreement to dissolve Parliament, integrate the NPC (M) into a new transitional government, draft a new constitution and dissolve the “people`s governments” of the NPC (M) active in rural Nepal. The two sides also agreed to disarm at a later date under international control.  On 18 September 2007, the NPC (M) left the coalition government before the election of the Constituent Assembly and called for the declaration of a Republic by Parliament and a proportional electoral system. The NPC (M) joined the government on 30 December 2007 following an agreement on the abolition of the monarchy after the elections and a system of partial representation of elections.  The post-agreement political scenario may seem rather obscure, but it will be wrong to interpret it mechanically. Some “radical” foreigners want to believe that the Maoists are simply using the agreement as a tactic, because such compromises run counter to the spirit of the revolution. However, the truth of Mao`s declaration that the total victory of the revolution will last for hundreds of years must be recognized, and a revolutionary force must be prepared for any eventuality in the “continuous revolution and counter-revolution process”, and it cannot rely on formulas. The Nepalese revolutionaries` understanding of the “relationship between the party, the army, the state and the people” is largely based on the fundamental idea of the “right of the masses to self-dispose” (4).