New Delhi: India is keen on gifting Bangladesh the most preferred nation status for trade across the border and will try to ensure capital flows to that country form business.

Home Minister P Chidambaram said India and Bangladesh can join hands in making that part of the world a hub of business activities.

Addressing the Northeast Business Summit here today, he said Bangladesh is blessed with natural resources, especially natural gas and India is blessed with entrepreneurs and capital.

"Joining hands together, so much business can be created on both sides of the border. I think it is important that businessmen look upon Bangladesh and India as one market, as a market where goods and services can be produced, traded and exchanged.

"That is why we are very keen to gift Bangladesh the most preferred nation status for trade across the border (so that) trade between the two countries takes place almost tariff free. We should reach out to Bangladesh," he said.

Chidambaram said since India's economy is many times bigger than the economy of Bangladesh, it is New Delhi's responsibility to give access to goods and services from Dhaka.

"It is India's responsibility to ensure that capital flows from India to Bangladesh to start businesses," he said.

Highly praising Bangladesh Premier Sheikh Hasina, the Home Minister said India on Thursday has the best of relationship with Bangladesh, thanks to the vision and statesmanship of the Prime Minister.

"I want to pay tribute to the vision and statesmanship of Prime Minister Sheikh Hasina. India and Bangladesh are today closer than ever before. We are perhaps today as close as the day on which Bangladesh was liberated," Chidambaram said.

The Home Minister said India went into many agreements with Bangladesh, especially on territory, the enclaves, the adverse possession areas which had become possible due to the cooperation of the Chief Ministers of Northeastern states, especially, Assam, Tripura, Meghalaya and West Bengal.

"They have made it possible to settle these long standing disputes. There are still one or two outstanding issues, but I am confident that we will settle those issues also in 2012," he said.

Referring to Myanmar, the Home Minister said India had a difficult time with the country in the past which has changed now as the new government in Myanmar appears to be more open, more forward looking and more willing to solve problems.

"I think if Myanmar moves through road, I think they are moving, I can safely predict that within two-three years, we will find in Myanmar a government and country which is willing to join hands with India and create another huge market of India and Myanmar," he said.

(Agencies)