Kathmandu: Nepal's dethroned king Gyanendra Shah on Thursday expressed concern over the political crisis in the country, saying he had never imagined that such a situation would emerge following the abolishment of the centuries-old monarchy in 2008.

Gyanendra, who celebrated his 65th birthday on Thursday, was greeted by hundreds of his supporters in the capital where he now lives like a private citizen.

The deposed king said the country has edged towards further crisis after the abolishment of the 240-year-old monarchy in May 2008.

Nepal has been facing with political instability since Gyanandra was forced to give up absolute power in 2006 following a popular movement.

The political parties have failed to push forward a landmark peace process inked in 2006 that ended the Maoist-led insurgency.

They have failed to draft a new constitution for the young republic even though the term of the 601-member Constituent Assembly, which functions as the country's parliament, has been extended twice.

"I had not thought that the situation like this would emerge following the abolishment of monarchy, but I pray for the peace and prosperity of Nepali people," Gyanendra said.

At the same time, he maintained that there is still no need to be pessimistic regarding the situation in the country. Earlier, the birth anniversary of Gyanendra was marked as a public holiday.

The dethroned monarch has kept a low profile since mass protests against Gyanendra, who became the king in 2001 after the death of his elder brother Birendra in a palace massacre, culminated in the country being declared a republic.

The former monarch, however, has appeared at public and religious functions, including visiting important temples across the country amid pomp and show.