The Prime Minister of Nepal, Girija Prasad Koirala, says he will hold talks next month with King Jigme Singye Wangchuk of Bhutan, on refugee issues.

MrKoirala said the two leaders would meet in the Sri Lankan capital, Colombo (during the summit of the South Asian Association for Regional Cooperation -- SAARC.

He said he would ask the King to resolve the long-standing problem of refugees from Bhutan living in camps in eastern Nepal.

The BBC correspondent in Kathmandu says the issue of the refugees' nationality has stalled talks on the problem for the last two years.