Under Yunus' draft proposals the party to lose the election would still get one third of the posts in the cabinet. The tenure of the coalition government would be one year and it would be charged with devising a long-term solution to the political crisis.

Dr. Yunus made the proposal at a civic reception held by Dhaka city Mayor Sadeque Hossain Khoka in honour of his winning the prestigious Nobel Peace Prize for 2006.

Yunus said free and fair elections with the participation of all major political parties are the only solution to the existing crisis and urged the 14 party alliance to withdraw the upcoming blockade programme, thereby saving the nation from looming economic and social disaster.

"Please do not destroy the future of the nation through closing down economic and educational activities," Yunus said.

In his seven-point draft for the proposed peace accord, both alliances would commit to participate in the next election, forming a consultative committee to give regular advice to the caretaker government on the conduct of the election.

After the election a coalition government would comprise leaders of both alliances. The majority party in parliament would hold the post of prime minister with a new post of deputy prime minister coming from the other alliance.

The other alliance would also get a third of the posts in the cabinet, irrespective of how many seats it won in parliament, Yunus explained. The cabinet portfolios of the respective alliances would be settled and be attached to the agreement.

The tenure of the interim government would be one year although, if necessary, it could be extended by a further year.

Both alliances would make a commitment to elect a new president and reconstitute the election commission. They would declare the name of the president before the election and attach it to the agreement.

The new government would update the voter list, amend the election rules, and introduce voter identity cards, Yunus said.

Thousands of city dwellers attended the open reception accorded for the first time for any Bangladeshi at the south plaza of the magnificent Songshad Bhaban.

Yunus told the crowd that despite the bitter rivalry of the political alliances he believed an agreement was possible. "If two conflicting groups can sign a peace accord amid fierce battle, why can't two rival political alliances in our country?" he said.

The interim coalition government would also be charged with implementing the policies on which there was a consensus and which were mentioned in their manifestos.

Yunus said these should include declaring upazila elections, taking effective measures to curb corruption, running Chittagong port at full capacity, and ensuring optimum use of information technology. Legal and institutional arrangement for attracting foreign investment should be instituted, Bangladesh Biman reformed and autonomy given to national radio and television. Abnormal price hikes should be controlled and the power crisis solved.

After completing its tasks the interim government would resign and handover power to a caretaker government. The next election would be under the caretaker government and both the parties would be committed to help the next government.

Yunus called upon all the political parties to implement the peace accord and make it permanent in order to ensure the progress and prosperity of the nation.

The Nobel laureate requested both the political parties to avoid conflict and shake hands in an effort to save the nation from complete ruination.

Urging the 14 party alliance to withdraw the blockade programme, Yunus said further blockades would push the country down a dangerous path from where there would be no way out. He said he feared Bangladesh would turn into a country like Somalia.

Dr. Yunus also presented a number of positive features of the country, achieved despite natural disaster and massive corruption. He said that in some respects Bangladesh is well ahead of India, Pakistan and Sri Lanka.

However Yunus said he regretted the appalling situation in the premier port of the country, Chittagong, and the power sector. The Chittagong port is working like an independent body and the government is helpless, he said.

According the reception, city mayor Sadeque Hossain Khoka formally handed over a key of the city to the Nobel laureate. Thousands of people also gave a standing ovation to one of the greatest heros of the nation. They clapped and cheered in joy.

The open stage was decorated with colorful balloons and a giant portrait of Dr. Yunus. Dr. Afrozi Yunus, wife of the Nobel laureate, and other relatives were also present at the reception.

Khoka said he hoped that Yunus would play the role of a bridge in solving the basic problems of the nation.

The mayor said that against the backdrop of disagreement and the volatile political situation, the nation wants bold leadership from Yunus.

Khoka also termed Yunus one of the proficient sons of the soil. He also recalled the great history of Dhaka in respect of struggle for independence, the language movement and struggle against colonial rule.

A commemorative note on behalf of the citizens of Dhaka was read out by prominent educationalist and chairman of Bishwa Shahittaya Kendra Prof Abdullah Abu Sayeed.

Speaker Jamiruddin Sircar deputy speaker Akhter Hamid Siddiqui, former ministers Barrister Nazmul Huda, M Morshed Khan, Abdullah Al Noman, government high officials and prominent citizen of the country joined the reception.

The reception was followed by a cultural show rendering patriotic songs and folk dances by child artists.