The second summit meeting of BIMSTEC, an economic bloc of South and Southeast Asian Countries has been postponed citing political instability in member states including Nepal.

“It has been deferred as member governments agreed holding the summit amid political instability in Bangladesh and transformation in Nepal will fail to give impetus to regional cooperation as desired,” the Kathmandu Post daily quoted a source as saying.

The Embassy of Nepal in New Delhi said the meeting has been rescheduled for mid-2007.

Heads of government participate in the summit meeting of the BIMSTEC. Seven countries; Nepal, India, Bhutan, Myanmar, Thailand, Bangladesh and Sri Lanka are its members.

“It has been decided that the meeting will be held once understanding is reached on several issues through consultations,” reports quoted an official at the embassy as saying.

The date for implementing the Free Commodity Trade Agreement, a top priority among the member nations, expired over six months ago. The member states had agreed to implement the agreement from July 2006. The foreign ministerial meeting held in New Delhi in August had agreed to implement the understanding prior to the second summit meeting.

The Trade Negotiation Committee meeting held in Myanmar could not fix a date for implementing the understanding.