India's Ambassador to Nepal Shiv Shanker Mukherjee has submitted a report to the government today which is "very positive," he told rediff.com.

Mukherjee, who arrived in Delhi [Images] Monday after a meeting with Prime Minister Girija Prasad Koirala in Kathmandu, also held talks with Maoist leader Prachanda at the Indian embassy in Kathmandu last week.

According to Tripathi, the two main stumbling blocks to an accord between the Maoists and the interim Nepali government was the inclusion of the rebels in the government and their refusal to lay down their weapons.

Agency reports said that the two sides had now agreed to place their weapons under United Nations supervision, and will soon announce an agreement on an interim Constitution and Parliament which would include the Maoists.

Nepal's Deputy Prime Minister and Foreign Minister K P Sharma Oli arrived in New Delhi Sunday night, and is expected to keep the Indian government briefed on developments.

"I am sure that the crisis will be resolved within a week," said an upbeat Tripathi.

More reports from Nepal