Kathmandu:
Supporters of the Nepalese Prime Minister took to the streets on Sunday to celebrate his decision to fire the country's army chief, whilst opposition supporters protested the move.
The decision led to a key political party quitting Nepal's coalition government on Sunday in protest, officials said.
The Communist Party of Nepal (United Marxist Leninist) was the second largest party in the coalition government.
Prime Minister Pushpa Kamal Dahal, a former Maoist rebel leader, sacked army chief Rookmangud Katawal on Sunday after accusing him of defying government orders.
The move was welcomed by supporters of the former Maoist rebels, who took to the streets of Katmandu to celebrate.
However, it was rejected by the opposition Nepali Congress and supporters of the party burned tyres in the capital in protest at the move.
Dahal announced the army chief's removal after calling a special cabinet meeting on Sunday.
Most political parties in the coalition government walked out of the meeting in protest and the Communist Party of Nepal (United Marxist Leninist) later announced it was leaving the coalition.
It was unclear; however, if the prime minister actually had the power to unilaterally fire the military chief.
The army, which was controlled by Nepal's king before the monarchy was abolished last year, is officially under the command of the president, who is a member of the Nepali Congress party.
But legal procedures for removing the head of the army are unclear because Nepal's constitution is still being rewritten.
Dahal has held a protracted struggle with the army over its refusal to integrate former rebel units into its ranks as required by a UN-brokered peace agreement.
The former rebel leader turned politician has accused Katawal of ignoring government orders by refusing to stop recruiting soldiers, boycotting last month's national games and allowing eight army generals whose tenures were not extended by the government to continue working.
The Maoists gave up their 10-year armed rebellion in 2006 and joined a peace process.
They confined their fighters in UN-monitored camps and locked up their weapons.
They joined elections last year and emerged as Nepal's largest political party.