Kathmandu - The European Union Friday expressed concerns over political deadlock in Nepal that has threatened to derail the peace process.

A delegation of the EU, dubbed the Troika, ended a two-day visit to the Himalayan nation on Friday.

It came amid growing political differences between the Maoists and other key political parties that has brought the country's political process to a virtual standstill.

"The EU Troika urges all political parties to overcome the current political impasse by making compromises that would result in the resumption of the proceedings of parliament and forward movement on key peace process issues," EU representative Klas Molin said.

The EU Troika also expressed concerns over the government's failures to act on disappearances blamed on the security forces and the Maoists during the decade long insurgency.

"Failure to act on human rights abuses undermines respect for the rule of law which in turn undermines sustainable peace," Molin said. "The EU is especially concerned by disappearance and widespread impunity."

During the two day visit, the EU Troika met with Nepalese President Ram Baran Yadav, Prime Minister Madhav Kumar Nepal and senior politicians to take stock of the peace process.

The visit was aimed at reviewing Nepal's peace process that formally began after the signing of a peace accord between the government and the Maoists in November
2006.

The EU also announced it was preparing an "envelope of 60 million euros" (88 million dollars) for stability and peace building along with basic education and trade facilitation in Nepal. (dpa)