Kathmandu (PTI): Former Chief Justice Sushila Karki is likely to be appointed as the head of a caretaker government in Nepal, which would conduct fresh elections, addressing the demands of the agitating group, according to sources.

Talks among various stakeholders, including representatives of the Gen Z group -- which spearheaded the anti-government protests -- the Army chief, and President Ramchandra Paudel, ended inconclusively at Thursday midnight.

However, the youth-led Gen Z group proposed Karki's name for the post of new prime minister, multiple sources said.

President Paudel is expected to appoint Karki as the first female prime minister of Nepal on Friday morning.

The president is currently holding consultations with various political leaders as well as constitutional experts to find a way out of the current political impasse, according to sources close to the president.

Two options were considered for forming the new government: dissolving Parliament or retaining it. However, the agitating group has agreed to seek a solution within the constitutional framework.

Meanwhile, the overnight curfew has been relaxed for four hours from 7 am to 11 am to allow people time to ease into daily life.

Restrictive orders will be in place across the country from 11 am to 5 pm, followed by a two-hour window before curfew resumes from 7 pm to 6 am the next day.

Prime Minister K P Sharma Oli quit on Tuesday shortly after hundreds of agitators entered his office demanding his resignation for the death of at least 19 people in police action during Monday's protests over corruption and a social media ban. The ban on social media was lifted Monday night.

President Paudel has accepted Oli's resignation but stated that the cabinet led by him will continue to run the government until a new Council of Ministers is formed.

According to the Ministry of Health, the number of people killed so far during the protests held on Monday and Tuesday has risen to 34.

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Bajpe: A private bus and a lorry collided head-on near Bellibettu bus stand on Wednesday, leaving both drivers seriously injured.

According to sources, the private bus was travelling from Mangaluru to Karkala and a lorry was heading towards Mangaluru.

The impact of the collision was severe, leaving the front portions of both the bus and the lorry completely crushed.

According to locals, the drivers of both vehicles were trapped inside the mangled vehicles and had to be rescued by cutting parts of the damaged vehicles using a gas cutter. Passengers travelling in the bus sustained minor injuries.

The injured drivers were shifted to a private hospital in the city for treatment. Personnel from the Bajpe police station visited the spot, conducted an inspection, and registered a case.

Meanwhile, it has been learnt that during the rescue operation, a local resident, Rafiq Gurupura, found around Rs 6 lakh in cash while cutting open parts of the bus.

The amount was subsequently handed over to the Bajpe police. The rescue operation was carried out by locals including Rafiq, Shivarama, Raoof, Fazil and others.