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Islamabad: Pakistan's ruling coalition, led by the party of slain former prime minister Benazir Bhutto, announced on Thursday it would begin impeachment proceedings against President Pervez Musharraf.
"The coalition leaders believe that it has become imperative to move for impeachment... against General Musharraf," the head of the coalition and Bhutto's widower, Asif Ali Zardari, told a news conference with his main coalition partner former prime minister Nawaz Sharif.
The ruling Pakistan Peoples Party (PPP) and the Pakistan Muslim League-Nawaz (PML-N) also announced their decision to restore the Supreme Court judges sacked by Musharraf in November last year.
The move is likely to deepen political instability in the country.
The political uncertainty has taken a toll on Pakistani markets, with the main share index at its weakest in almost two years and the rupee headed back towards all-time lows posted in early July.
"Yes, we have agreed in principle to impeach him," a senior official of the coalition, led by the party of slain former prime minister Benazir Bhutto, said earlier.
He added that the National Assembly, Parliament's lower house, is expected to be called next week to begin proceedings against the President.
Shortly afterwards, the foreign ministry announced Prime Minister Yousaf Raza Gilani, instead of Musharraf, would leave for China on Thursday to attend opening ceremonies for the Beijing Olympics.
The move against the US ally in the war against terrorism could plunge the nuclear-armed Muslim nation into a new bout of political instability unless former army chief Musharraf, who came to power in a coup nine years ago, decided to go quietly.
On Thursday, Pakistani stocks had nudged up 0.3 per cent, closing at 9,707.29 on turnover of 88.5 million shares, kept in check by anticipation of the formal announcement of the impeachment by the ruling parties.
The response of the army to the prospect of a humiliating exit for its former chief will be crucial.
Army commanders met in the garrison city of Rawalpindi, close to Islamabad, on Thursday but a military official said "it was a routine meeting".
"The meeting will continue on Friday in which they will discuss issues relating to promotions of brigadiers and other senior officers," the official said on condition of anonymity.
Musharraf has become increasingly unpopular at home and lost parliamentary support after his allies suffered a humiliating defeat in February elections, but has resisted calls to stand down.
The coalition led by Bhutto's widower and political successor, Asif Ali Zardari, has been negotiating the fate of Musharraf with former prime minister Nawaz Sharif and other coalition partners since Tuesday.
While Musharraf has not yet commented on the impending move against him, his allies have said he would fight the impeachment.
Musharraf has previously said he would resign rather than face impeachment proceedings but Pakistani political circles are awash with speculation he could dismiss Parliament, even though he has said he would not.
An aide to Sharif warned Musharraf against attempting to dismiss the parliament and government.
"Democratic forces will confront this move together ... Pakistan is not a pasture for any dictator who can trample it any time," Ahsan Iqbal, main spokesman for Sharif's party, said.
Under the Pakistani Constitution, a president could be ousted by passing an impeachment motion with a two-thirds majority of the combined strength of the National Assembly and the Senate.
If the resolution were passed, Musharraf would be the first president of the country to be impeached. Musharraf, due to go to China early on Thursday to attend opening ceremonies for the Beijing Olympics, delayed his departure because of the uncertainty hanging over him.
He had already put off the visit by a day.
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