Sri Lanka plans to set up free trade zones in former LTTE bastions of Kilinocchchi and Tricomalee to give a push to opportunities of trade and investment in the conflict-torn northern and eastern regions.

President Mahinda Rajapaksa told this to his Vietnamese counterpart Nguyen Minh Triet in a meeting in Hanoi on Thursday.

"Sri Lanka has ushered a new era and opened opportunities for trade and investment... The government has already earmarked new Free Traded Zones in the former conflict zones of Kilinochchi and Trincomalee," Rajapaksa said, according to an official statement.

Rajapaksa extended his deep appreciation to Vietnamese government "for the steadfast and moral support during Sri Lanka's battle against terrorism, especially in multilateral fora," it said, pointing out that Vietnam had backed Sri Lanka at the UN Human Rights Council in Geneva.

Vietnamese President in turn told Rajapaksa that his country appreciated the solidarity that Sri Lanka demonstrated during Vietnam's struggle against colonialism.

"Nguyen Minh Triet appreciated the bold steps taken by the security forces to defeat LTTE terrorism," it said. Rajapaksa hoped bilateral trade between the two countries could be further enhanced.

"Sri Lankan President stated that ambitious development projects like Uthuru Wasanthaya and Negenahira Navodaya were schemes to testify what was on offer," the statement said.