KATHMANDU (Reuters) -- Nepal's Supreme Court on Monday reinstated its parliament, which was dissolved by caretaker Prime Minister K.P. Sharma Oli in May, and ordered that his rival Sher Bahadur Deuba be appointed as prime minister.
The move deals a major blow to Oli, who was unable to muster a majority in the House of Representatives and had sought to force a fresh election by dissolving parliament on May 22.
Oli's move had sparked a fresh constitutional crisis in the Himalayan nation and it marked his second attempt to dissolve parliament in recent months after an initial attempt in December 2020, following a split in his party, was reversed by the Supreme Court in February.
After Nepal's parliament had been reconstituted, Oli lost a confidence vote on May 10. Before his rivals could stake a claim however, he advised Nepal's President Bidya Devi Bhandari to dissolve parliament, saying neither he nor opposition leader Deuba were able to muster a majority and form a new government.
The opposition decried the move and vowed to challenge it.
On Monday, Supreme Court official Debendra Dhakal said the court had ordered parliament be reconvened within seven days.
"It has also ordered that Sher Bahadur Deuba be appointed as prime minister within two days," Dhakal told Reuters.