The Maoists have declared the nationwide strike starting Sunday in a bid to thwart local elections called by King Gyanendra who seized power a year ago.

Police reported no deaths or injuries in Nepalgunj after the Maoist attack late Friday, part of a stepped-up campaign of raids the rebels had vowed to stage in the lead-up to next Wednesday's municipal polls.

The town has a night curfew so residents were at home when the attack that lasted several hours began.

"There have not been any casualties," a police officer said, speaking on customary condition of anonymity, adding he had no more details.

The attack was the second big assault by the rebels in five days, after at least 15 people were killed when around 4,000 rebels stormed government buildings in Palpa district west of Kathmandu late Tuesday.

The royal government appealed to people to ignore the strike declared by the Maoists as part of their campaign to derail the polls, and threatened to arrest people who obstructed or vandalised traffic or tried to prevent shops opening.

"His majesty's government has made sufficient and reliable security arrangements in order to avert any untoward incidents and maintain normalcy," state-run news agency RSS, seen as a government mouthpiece, said.

The home ministry has told people to carry identification papers "to help the security forces presently involved in a strict security search," the agency added.