Prime Minister Manmohan Singh will not attend the two-day South Asian Association for Regional Cooperation summit in Dhaka, which is slated to be held from February six.
A decision to this effect was taken at the highest level, official sources said.
This is apparently keeping in view the developments in Nepal where King Gyanendra has assumed all executive powers after dismissing the Sher Bahadur Dueba-led coalition government.
As the SAARC Charter mandated the presence of all heads or state or government for a summit to take place, the Dhaka meet of the seven-nation grouping is likely to be called off in the wake of the decision.
The summit was originally scheduled to be held earlier this year but was postponed due to the tsunami disaster, which affected three member countries - India, Sri Lanka and the Maldives.
India has termed the Nepalese monarch's action as a 'serious setback' to the cause of democracy in the Himalayan kingdom and a cause of grave concern.
Official sources contended that holding the Summit would tend to give legitimacy to the King's action.
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