Amid political wrangling in Nepal over government formation, Prime Minister Manmohan Singh on Sunday met its caretaker Premier Girija Prasad Koirala on the margins of the SAARC summit in Colombo and assured him of India's continued support to the Himalayan state's democratic transition.

During the meeting between the two leaders, Singh told Koirala he was impressed by the steps taken by the Himalayan country to usher in democracy, including the conduct of the Constituent Assembly elections on April 10, officials said.

The Prime Minister said India will continue to work to support Nepal in its democratic transition.

Koirala, whose attendance in SAARC had raked up a controversy in Nepal as both Maoists and CPN-UML were opposed to the caretaker Premier representing the Himalayan state instead of its President Ram Baran Yadav, briefed Singh on the developments in his country.

Both Maoists and CPN-UML had agreed to Koirala attending the summit after he apologised for not consulting them on the matter in advance.

Maoists, who had emerged as the largest group in the Constituent Assembly polls followed by Koirala's Nepali Congress and CPN-UML, have been invited by the President to form a government of national consensus. However, former rebels are yet to convince the major parties to join them.

All major parties in Nepal are currently engaged in cajoling fringe groups whose support is crucial for formation of a government.

Singh and Koirala also reviewed bilateral ties and expressed satisfaction at the state of the relationship.

Besides Koirala, the Prime Minister met Maldives President Maumoon Abdul Gayoom and reviewed relationship between the two countries, the officials said.

Both Singh and Gayoom expressed satisfaction at state of the bilateral ties.

The two leaders also discussed the SAARC process as Maldives will be hosting the next summit at Male.

Gayoom, an elder statesman of SAARC, has attended every summit of the eight-nation forum.