KATHMANDU (AFP) -- Nepal's government and Maoists are scheduled to sign an accord mandating the United Nations to begin monitoring rebel weapons and troops, a key element in the two sides' peace process.

"The talks have been very progressive and we are confident that the agreement on arms management was to be reached on Tuesday," Home Minister Krishna Prasad Sitaula said.

The former rebels and government signed a landmark peace deal last week that will see the Maoists join the government after placing their army and weapons in camps under UN monitoring.

The Maoists were due to join a new interim government Sunday, but that was delayed amid detailed talks on how the Maoists should lock up their guns. The government also wants Maoist soldiers in camps before the former insurgents are granted 73 seats in a new 330-seat parliament.

"The management of Maoist arms is a very sensitive issue. Over the past few days, we have been consulting with the Maoists and UN representatives to reach this crucial agreement," Sitaula said.

"The government wants the rebel arms and army to be confined in cantonments before they (rebels) can the join the government," Deputy Prime Minister Amik Sherchan also said.

"Once the issue of arms management is sorted out it will pave way for the finalizing of the interim constitution and formation of the interim government," Sherchan said.

Under last week's landmark pact, the former rebel army will be confined to camps in seven areas across Nepal.

Soldiers have already started gathering at the sites and the government Monday pledged a further 1.3 million dollars -- on top of an initial grant of 945,000 dollars -- to the Maoists for their camps.

The UN chief's personal representative in Nepal, Ian Martin, flew to New York Saturday to brief Kofi Annan.

Annan is expected to seek a UN Security Council mandate to deploy at least 60 UN personnel in the first phase of the UN monitoring mission.

Nepal's Maoists officially ended their decade-long "people's war" last week, when party leader Prachanda inked a comprehensive peace pact with Prime Minister Girija Prasad Koirala.

Under the peace deal, the Maoists would take seats in an interim parliament that would pave the way for fresh elections next year to a constituent assembly that would rewrite the constitution and decide the fate of the 238-year-old monarchy.

The Maoists and an alliance of seven political parties led mass protests in April that forced King Gyanendra to abandon 14 months of absolute rule he said was needed to crush the Maoist rebellion.

After the king stepped down, the two sides quickly agreed to a ceasefire and the parties formed a government that stripped the king of most powers, including control of the army, paving the way for the peace deal to be signed last week.

****Caption: Nepalese Prime Minister Girija Prasad Koirala (left) talks to Maoist Chariman Prachanda during the signing of a peace agreement in Kathmandu earlier this month.