The seven Saarc countries -- Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan and Sri Lanka -- are also likely to sign a Social Charter and discuss ways to alleviate poverty.

Foreign ministry sources said Khaleda will address the inaugural session of the summit being held after a gap of two years.

Bangladesh will also take up at the summit issues like trade, investment, information and communication technology, environment and cooperation in harnessing common natural resources.

The Bangladesh delegation includes Foreign Minister M Morshed Khan, Foreign Secretary Shamsher Mobin Chowdhury, Prime Minister's Political Secretary Haris Chowdhury, Principal Secretary Kamal Uddin Siddiqui, Press Secretary Tajul Islam and Home Secretary Omar Faruk.

The foreign minister, foreign secretary and director general of the Saarc desk at the foreign ministry have already left for Islamabad.

On the sidelines of the three-day summit, Khaleda will meet other Saarc leaders to discuss bilateral, regional and international issues of mutual interest.

She will attend a banquet hosted by Pakistan President Parvez Musharraf on Sunday and join the retreat along with other Saarc leaders on Monday.

A foreign ministry official ruled out the possibility of any discussion on a single currency in the region.

News agency reports said Pakistan also ruled out talks on the issue.

Indian Prime Minister Atal Bihari Vajpayee last month floated the idea of economic integration and creation of a single currency for South Asia.

The official mentioned that while establishment of Safta was being delayed for years, the seven Saarc countries went for bilateral agreements. "That way they have moved towards regional cooperation," he said.

"We think this time a framework agreement on Safta will be signed," the official added.