Bangladesh and Nepal have agreed to sign a Free Trade Agreement to enhance trade between the two countries; Announcing this after meeting the visiting Foreign Minister of Nepal Pradeep Kumar Gyawali on Monday, Commerce Minister of Bangladesh Tipu Munshi said that a committee will be formed to work out the modalities of the agreement.

Bangladesh has also agreed to allow Nepal to use it Saidpur airport located in its northernmost district of Nilphamari close to Nepal.

Earlier, the Foreign Minister of Bangladesh Dr. A.K. Abdul Momen had a meeting with his Nepalese counter part. Both the ministers discussed ways to enhance trade, investment and connectivity including use of seaports of Bangladesh.

Bangladesh exports commodities worth $38 million to Nepal and imports goods worth around 18 million dollars.

Talking to media persons The Nepal Foreign Minister expressed the hope that Nepal will be able to provide 500 MW of hydroelectric power to Bangladesh once the Indian Company GMR completes its project in Nepal.

Foreign Minister of Nepal Pradeep Kumar Gyawali arrived in Dhaka on Monday on a three day long official visit to Bangladesh.