Islamabad issued a statement after Gyanendra reinstated parliament and the house sat after four long years Friday.

"We hope that the breakthrough would usher in an era of durable peace and prosperity in the kingdom of Nepal," the statement, released by the Pakistan Embassy in Kathmandu, said.

Saying Pakistan has reaffirmed "unwavering support for the unity, sovereignty and territorial integrity of Nepal", the statement hoped bilateral ties between the two countries would be strengthened in future as they were based on the principles of equality and non-interference in each other's internal affairs.

Earlier, China congratulated newly appointed Prime Minister Girija Prasad Koirala, saying it hoped Nepal would have peace, stability and development under his leadership.

When King Gyanendra seized absolute power with the help of the army last year, China, Pakistan, Russia and Cuba had supported the move while the rest of the international community had condemned it.

Immediately after the coup, Pakistan had disclosed that President Pervez Musharraf and the king had a phone conversation immediately afterwards. Both China and Pakistan kept up diplomatic ties with King Gyanendra's regime.

However, while China totally swung over to the opposition parties in Nepal since Tuesday after mass protests forced the king to relinquish power, Islamabad had held itself back, addressing the state instead of the parties or even Koirala directly.