Public buses, vans and taxis, meanwhile, were absent from the streets as drivers attempted to force the government to allow them to increase fares.

The government has said it can allow a 25 percent increase but the Transport Entrepreneur's Association has demanded as much as 35 percent to cover rising fuel prices.

With the absence of public transport, thousands of people walked instead.

College students, who have been protesting since Thursday, continued their protests in several areas of Katmandu. They torched a government motorcycle and attacked several other vehicles.

The students are pressing the government to immediately withdraw fuel price increases, which went into effect June 10.

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.

Since the increase went into effect, 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 has in recent weeks has struggled to pay Indian Oil Corp. because of its financial troubles, and fuel imports have dropped off as a result.