New York: India and Nepal on Sunday decided to take steps to advance economic cooperation and other elements in bilateral agenda of the two countries.

This was the outcome of a meeting between Prime Minister Manmohan Singh and his newly elected Nepal counterpart Baburam Bhattarai that took place on the sidelines of the UN General Assembly.

Briefing reporters on the meeting, Foreign Secretary Ranjan Mathai said the Nepalese Prime Minister explained the "peace process" that was being undertaken in his country and Singh wished him well in the exercise.

Asked if it was a reference to the Nepali Maoist problem, Mathai said there was no specific reference to the problem but Bhattarai had explained about the moves to create a new consensus and how to move forward.

The Prime Minister wished him well and told him he was awaiting the Nepal Prime Minister's visit to India.
Both the leaders emphasised that the ties between the two countries were old and traditional.
The new Prime Minister knew India well as he had studied in Chandigarh and New Delhi. External Affairs Minister S M Krishna was also present.

The Prime Minister also had a meeting with the President of the newest member of the UN -- Salva Kiir of South Sudan.

Singh conveyed congratulations to the new state. Kiir conveyed appreciation of India's presence at the celebrations to herald the new state.

Vice President Hamid Ansari had attended the celebrations.