New Delhi: The Union Cabinet today approved the signing of Headquarters Agreement between India and South Asian University and also gave its approval for issuing a notification under the United Nations (Privileges & Immunities) Act, 1947.

The Headquarters Agreement will provide an overall framework for the smooth and unobstructed functioning and operation of the University and for regulating the relations between the University and India.

"The decision for establishment of the South Asian University would be a path-breaking achievement for India manifesting its commitment to SAARC. The project will showcase education and technical process within the region", an official from the Ministry of Human Resource Development (MHRD) said.

The jurisdiction of the University will extend to the whole of India and to campuses and centers established outside India in the SAARC region.

"The University will advance a sense of South Asian Community by bringing together the future generations from neighbouring countries and expose them to quality education", the official further said.

The first session of the University is scheduled to begin in August 2010 in New Delhi.

The University will be the first international University to be hosted by India to disseminate the advance knowledge, wisdom and understanding by providing instructional and research facilities in such branches of learning as it may deem fit.

The University will have full functional autonomy and shall be subject to the terms and conditions of the Inter-Governmental Agreement for the establishment of South Asian University signed at the 14th SAARC Summit.

Prime Minister, Dr. Manmohan Singh had first proposed the establishment of the South Asian University, in the SAARC region, at the 13th SAARC Summit held in Dhaka on November 12-13, 2005.

At the 14th SAARC Summit (New Delhi, April 3-4, 2007), an Intergovernmental Agreement for establishing the South Asian University in New Delhi was signed by the SAARC member states.