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The officials of the ruling party of East Timor announced that they reached an agreement with two other parties to form a coalition government.Prime Minister Xanana Gusmao's party gained the most votes in the county's parliamentary election on July 7th, but failed to get a majority.

Gusmao's party, the National Congress for Timorese Reconstruction to form a coalition with the Democratic Party and Frente-Mudance, to hold a total of 40 seats in the 65-seat parliament. The coalition will allow Gusmao to remain in power.

After the announcement, supporters of opposition parties held mass demonstrations on Monday in the capital Dili. Some destroyed vehicles and attacked police officers. United Nations peacekeeping force plans to withdraw before the end of the year, but the schedule may be affected by security conditions.

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