The New Nation - Internet Edition

AP, Katmandu

A general strike to protest an increase in fuel prices shut down the Nepalese capital on Thursday, with schools, businesses and markets closed and streets empty of vehicles.

Government workers had to walk to their offices.

Four small political parties called the strike to demand the government immediately withdraw fuel price increases, which went into effect June 10.

Party supporters set up road blocks in several points in Katmandu and vandalized some buses that defied their strike call. Nepal Oil Corp., a state-owned company with a monopoly on importing and distributing oil, said the price rise was necessary to reduce its losses and increase supplies.

The pump price of gasoline has jumped 25 percent to 100 rupees per liter (US$5.70 per gallon), while diesel shot up 25 percent to 70 rupees a liter (US$3.80 a gallon).

Nepal imports all its oil products from neighboring India. Nepal Oil in recent weeks has struggled to pay Indian Oil Corp.