Step 1: Understanding the Question:
The question asks for the location of the inaugural summit of the South Asian Association for Regional Cooperation (SAARC).
Step 2: Key Concept:
The first SAARC summit was the meeting where the organization was officially founded and the SAARC Charter was adopted.
Step 3: Detailed Explanation:
The South Asian Association for Regional Cooperation (SAARC) was established on 8 December 1985.
The first-ever summit of the heads of state or government of the member countries was held in Dhaka, the capital city of Bangladesh, on 7-8 December 1985.
This location was chosen in recognition of Bangladesh's pioneering role in proposing the idea of a regional body.
The SAARC Secretariat is located in Kathmandu, Nepal, but the first summit was held in Dhaka.
Step 4: Final Answer
The first summit of SAARC was held in Dhaka, Bangladesh.