Nepal’s President sets 21 August as deadline for the political parties Nepal's President Ram Baran Yadav has set an August 21 deadline for the political parties to form a national unity government in the Himalayan nation following Prime Minister Jhala Nath Khanal's resignation. Nepal's President initiated the process for the formation of a new government soon after Mr Khanal stepped down on Sunday amid weeks of intense pressure from the Nepali Congress and UCPN-Maoist for his failure to push forward the peace process. Dr Yadav's press advisor Rajendra Dahal said, Mr Khanal has been asked by the President to serve as the caretaker Prime Minister after accepting his resignation. 61-year old Khanal, who headed a fragile coalition of three parties, blamed the Maoists and the Nepali Congress for the political deadlock. There will be an election in Parliament for the majority government as per the interim constitution if a national consensus government is not formed within the given deadline.