New Delhi says, relations between India and Myanmar is a factor of peace and stability in the region and have bearing on the regional cooperation.

Speaking at the banquet hosted in the honour of visiting President of Myanmar at Rashtrapati Bhavan on Friday, the President Mrs. Pratibha Devisingh Patil said that a new dawn has broken in the bilateral relations and significant changes are taking place in the political system of Myanmar.

Introduction of constitutional government with features of Parliamentary democracy is the highlight of this change.

Hailing the efforts of democratization, she said India will extend full support to Myanmar for revitalizing the agriculture, building industrial centres and enhancing its educational capacities.

The President said with the advent of democracy, Myanmar will truly emerge as India's gateway to ASEAN. Recalling the age old ties between the two neighbouring countries, Mrs. Patil asserted that Myanmar occupies the central place in India's vision and approach of rebuilding its eastern connections. She said the two countries have common interests in security and boarder management.

India and Myanmar on Friday decided to jointly fight the menace of terrorism and strengthen energy and security cooperation.

India also announced a five hundred million dollars line up credit for the development projects in Myanmar.

The President of Myanmar U.Thein Sein held comprehensive discussions with the Prime Minister Dr. Manmohan Singh on Friday on a host of issues seeking intensify cooperation in various sectors.

AIR correspondent reports, India also announced the host of other initiatives to accelerate infrastructure development in Myanmar including building of roads, airports, railways, power transmission lines and oil refineries.