The head of Sudan's Transitional Military Council (TMC), Lieutenant General Abdel Fattah al-Burhan, accused the demonstrators of breaking an understanding on de-escalation while talks were underway and said protesters were disrupting life in the capital by blocking roads outside a protest zone agreed upon with the military.
Lt. Gen. Yasser al-Atta, a military spokesman, said the two sides will spend the next six months negotiating peace deals with rebel outfits across the country, who have always been at odds with the central government.
The Alliance for Freedom and Change, the group that is leading the protest movement and negotiating the transfer of power with the army rulers, called the move "regrettable".
There has been a protracted sit-in by protesters outside the army headquarters since the military seized power from veteran leader Omar al-Bashir in April 2019.
Some roadblocks were later removed after the protest group urged demonstrators to abide by the request, an AFP correspondent reported.
The protest movement is demanding a civilian-led transition, which the generals have steadfastly resisted since bowing to their demands and toppling longtime autocrat Bashir.
They further agreed that legislative council is to be comprised of 300 members, 67 percent of which from the Freedom and Change Alliance and the rest from the other political forces.
As a reminder, the military had originally wanted a four-year transition period while protest leaders had sought two years.
General Yasser Al Atta, one of the members of the current ruling military council, had vowed earlier this week to reach a deal by Thursday that "meets the people's aspirations".
The British ambassador to Khartoum said Sudanese security forces had fired at protesters on Wednesday when eight were reported wounded near the sit-in, where thousands remain camped demanding the generals step down.
The RSF had "taken the side of the people's revolution and played an important role in its victory".
But just hours before the talks were due to start, a spokesperson for the umbrella protest group, the Alliance for Freedom and Change, wrote on Facebook that eight people had been wounded by live fire.
"People were walking towards the barricades and they (security forces) were firing shots at them", a 20-year-old demonstrator, who asked not to be named, said, showing a handful of empty bullet casings and referring to roadblocks set up by protesters.
"The decision for security forces to escalate the use of force. led directly to the unacceptable violence later in the day" that got out of control, it said.
"The military council has suspended the talks".
Tensions have soared since Monday's shootings, which the United States blamed on security forces.
It promised to maintain sit-in protests outside the Defense Ministry and across the country.
Prosecutors in Sudan have charged former president Omar al-Bashir with involvement in the killing of anti-government protesters.
"It seems that there is so much confusion within the military council", said Rabie, adding that there are probably those within the military council who disagree "among themselves as to whether they shall hand power over to civilians".
Only the defence and interior ministries would be headed by military figures, he said.