Maoists in Nepal on Tuesday lifted the weeklong economic blockade that had virtually paralysed Kathmandu.

A joint statement issued by the six organisations affiliated to the Communist Party of Nepal (Maoist) late in the evening said that the indefinite blockade imposed since August 18 would be lifted for a month and vehicular movement would be allowed in Kathmandu and adjoining five districts.

The decision to lift the blockade, called to pressurise the government to disclose the whereabouts of detained Maoist leaders, was taken in view of the request from human rights bodies and the general public, the statement said.

The rebels earlier attacked an army patrol team that was clearing the Araniko Highway, which links the capital to Tibet, defence officials said. Five soldiers were killed.

Security forces recovered a body from the spot, which they suspected to be of a rebel, they said.

"There might have been some causalities on the Maoist side also but we couldn't ascertain their number, as they were carried away by their comrades," an army official said.

The army conducted aerial search to flush out the Maoists involved in the ambush.