Dhaka - Bangladesh's new civilian government assured Wednesday that it would work closely with neighbours to restore peace in South Asia curbing militancy and terrorism.

"We will take effective steps against militancy and terrorism in consultations with our neighbouring countries," Dr Dipu Moni, the newly appointed foreign minister of Sheikh Hasina Wazed's cabinet, told reporters on her assumption to office.

Dhaka - Bangladesh's newly appointed Prime Minister Sheikh Hasina Wazed Wednesday began her second term in office, paying homage to the memory of her slain father and the country's liberation war martyrs, officials said.

She was sworn in as head of government Tuesday after an alliance led by her Awami League (AL) party won a landslide victory in the December 29 general elections which ended almost two years of rule by a military-backed administration.

Hasina served as premier between 1996 and 2001.

Dhaka, Jan 6 : Shiekh Hasina, the President of the Awami League Party (AL), will be sworn-in as the Prime Minister of Bangladesh here today.

President Iajuddin Ahmed will appoint and administer oath of office to Hasina and her colleagues in the new council of ministers. He will also appoint and administer oath of office to the other ministers, state ministers and deputy ministers.

Hasina returns to power after spending a few months in custody on charge of murder, extortion and corruption. She has since been acquitted.

Dhaka - Police on Monday cleared Bangladesh's prime minister-in-waiting Sheikh Hasina Wazed of an extortion charge brought by a businessman eight months ago, officials said.

Police said investigators found no evidence that Hasina, the head of the Awami League, extorted 440,000 dollars from businessman Tazul Islam Faruk, who lodged the case with police in April.

"We submitted a report detailing the investigation to the court for its consideration," said a police inspector of Tejgaon police station.

Dhaka  - Bangladesh's prime minister-in-waiting, Sheikh Hasina Wazed, Monday condemned Israel's military aggression in the Gaza Strip and called on Muslim leaders to help stop the attacks.

"Muslim states should do whatever possible to relieve the distressed Palestinians under the circumstances," Hasina was quoted as saying by an aide after a group of Middle East envoys called on the newly elected leader.

Dhaka  - Bangladesh's Awami Party, which is poised to form a new government, named Zillur Rahman as the country's next president, media reports said Sunday quoting party chief Sheikh Hasina Wazed.

"The party will nominate its presidium member Zillur Rahman as head of the state," Hasina said after her party's newly elected legislators took the oath of office, Ittefaq newspaper reported.

The 79-year old Zillur was elected deputy leader of the House by the party, to replace Iajuddin Ahmed as president after the new parliament goes into session.

"We want to recognize his contributions in all democratic movement in Bangladesh," said Hasina, who is expected become prime minister this week.