Nepal on Monday said it will not allow its territory to be used against the interest of India and not permit "vested interest groups" to create "misunderstandings" between the two neighbouring nations.

The assurances were given by Nepalese Foreign Minister Sujata Koirala when new Foreign Secretary Nirupama Rao called on her in Kathmandu.

Making her maiden visit to Nepal after taking over, Rao was told by Koirala that Nepal will not allow its territory to be used against the interest of the neighbouring country.

In significant remarks, the Nepalese foreign minister also said, "we should be cautious that vested interest groups do not play or take undue advantage by creating misunderstandings."

During the meeting, the two also agreed to speed up agreements reached during Prime Minister Madhav Kumar Nepal's recent visit to New Delhi, including signing a bilateral extradition treaty and to finalise a strip map of Nepal.

"We have agreed to speed up implementation of various agreements reached during my visit and the Prime Minister's visit to India," Koirala told reporters.

"Though we don't have any major problems, we agreed to sort out issues like border delineation and reported border encroachment at certain points through understanding and goodwill," she said.