KATMANDU, Nepal (AP) - Nepal’s political parties were close to agreeing on a new ruling coalition, moving a step forward in forming a new government after the abrupt withdrawal of the Himalayan country’s communists, an official said Monday

The Himalayan nation was thrust into political crisis last week when Prime Minister Pushpa Kamal Dahal resigned and pulled his Community Party of Nepal (Maoist) from the government in a dispute over integrating former communist rebels into the military.

The country’s second- and third-largest parties, Nepali Congress and Communist Party of Nepal (United Marxist Leninist), were within days of reaching an agreement with smaller parties to form a government, Ram Sharan Mahat of the Nepali Congress said.

The alliance needs support from most of the smaller groups to secure a majority in the 601-seat parliament. Leaders representing the three smaller groups said they would reach a decision later Monday.

Any coalition that excludes the Maoists would likely have dificulty maintaining stability. The Maoists - the country’s largest party, comprised of former Maoist rebels - have warned they will seek to block parliament from functioning until the government meets their demand to fire the army chief.

The Maoist rebels laid down their arms three years ago to start a peace process in Nepal. Dahal - the former rebel leader - accused the country’s army chief or reneging on an agreement to integrat the rebels into the army, as required under the peace process that brought the Maoists into the political fold.

Dahal resigned last week to protest President Ram Baran Yadav’s refusal to fire the army chief.