Yangon - Bagan and Luang Prabang, the ancient capitals of Myanmar and Laos, respectively, have become sister cities, Myanmar state media reported Saturday.

A memorandum of understanding officially recognizing the sisterhood between the two ancient capitals, both of which are UNESCO World Heritage Sites, was signed Wednesday, The New Light of Myanmar reported.

The agreement was the highlight of an official visit by Lao Minister for Information Moukeo Oraboun to Bagan, formerly called Pagan.

Bagan, located 145 kilometres south-west of Mandalay, was Myanmar's first capital from 874 to 1287 before falling to Mongol invaders.

Luang Prabang, 425 kilometres north of Laos' current capital, Vientiane, was the seat of the Lao royalty until 1975 when a communist government came to power in the landlocked nation.

It was the capital of Luang Prabang, then a separate independent kingdom, starting in 1707.