President Lee Myung-bak holds a bilateral summit with the visiting Peruvian President Alan Garcia on Monday morning.

During the summit, the two leaders are expected to discuss ways to boost cooperation in the development of natural resources and energy.

They will also attend the initialing ceremony of a free trade agreement between the two countries by their trade ministers, a procedure taken prior to the actual signing of the agreement.

The Korea-Peru FTA was agreed by Korean Trade Minister Kim Jong-hoon and his Peruvian counterpart Martin Perez in Lima in August after 17 months of negotiations.

When it goes into effect the deal will eliminate import tariffs for many Korean industrial products including automobiles and electronics.