Indian Prime Minister Narendra Modi (R) shakes hands with his Sri Lankan counterpart Ranil Wickremesinghe before their meeting at Hyderabad House in New Delhi, capital of India, on April 26, 2017. India and Sri Lanka on Wednesday singed a key agreement on economic cooperation as Prime Minister Narendra Modi held extensive talks with his Sri Lankan counterpart Ranil Wickremesinghe in the national capital to strengthen bilateral ties. (Xinhua/Stringer)

NEW DELHI, April 26 (Xinhua) -- India and Sri Lanka on Wednesday singed a key agreement on economic cooperation as Prime Minister Narendra Modi held extensive talks with his Sri Lankan counterpart Ranil Wickremesinghe in the national capital to strengthen bilateral ties.

"Deepening economic collaboration. India-Sri Lanka signed MOU (Memorandum of Understanding) on cooperation in economic project," Indian External Affairs Ministry spokesperson Gopal Baglay tweeted after the pact was sealed.

The talks between the two leaders took place at the iconic Hyderabad House in the heart of the national capital. "Partnership for prosperity and development. Prime Minister @NarendraModi receives Sri Lankan PM Wickremesinghe at Hyderabad House," Baglay tweeted ahead of the talks.

And after the bilateral discusssions, Modi took to social media and tweeted "Held comprehensive talks with PM Ranil Wickremesinghe on ways to strengthen India-Sri Lanka ties for the benefit of our citizens."

Earlier in the day, the visiting Sri Lankan prime minister met with Indian External Affairs Minister Sushma Swaraj and Road and Transport Minister Nitin Gadkari.

"Visit of a special partner. Sri Lankan PM Wickremesinghe arrives in Delhi on April 25, meets EAM Sushma Swaraj today (Wednesday)," Baglay tweeted.

The Sri Lankan prime minister also held discussions with former Indian Prime Minister Manmohan Singh and the country's main opposition Congress leader Sonia Gandhi.

Wickremsinghe's five-day tour to India, starting Tuesday, is a visit that is just ahead of Modi's slated tour of the island nation next month.

Sri Lanka has proposed to sign an MoU with India next month during Modi's visit, which proposes Indian investment in development of port and oil tank farms in Trincomalee, setting up a power plant and terminal, piped gas supply in Colombo, and highway and railway projects.

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