The Indian government says it has reached a settlement with the Suzuki Motor Corporation of Japan over control of their Maruti joint-venture car company.

The Industry Minister, Sikander Bakht, said the deal provided for future senior appointments at Maruti to be made jointly.

He said in return, Suzuki would withdraw its charges at the International Court of Arbitration over lack on consultation.

Correspondents say the dispute had threatened the future of Maruti -- India's largest car maker; opposition parties have already accused the government of compromising the national interest.

Japan imposed tough economic sanctions on India following its recent nuclear tests, and Mr Bakht said he hoped today's agreement would boost Indo-Japan business