According to sources, a homemade bomb was hurled outside the Sanargaon Pan-Pacific hotel where Mr Mukherjee was scheduled to stay during his three-day visit to Bangladesh. No one was injured due to the explosion, sources added.
Meanwhile, President's press secretary informed that none of the delegation members heard any explosion nor knew of any such incident. However, the incident raised questions over the President's security in the country which has been witnessing political turmoil since past few days.
The nation-wide strike called by Islamist protesters crippled Bangladesh on Monday. School, colleges were closed. Jamaat-e-Islami has called for a 48-hour nationwide strike to protest the verdict that was delivered by the three-judge International Crimes Tribunal-1 against Delwar Hossain Sayedee on Feb 28.
The Jamaat vice-president was sentenced to death after being found guilty of "crimes against humanity" during the 1971 war with Pakistan.
The tribunal chairman Justice ATM Fazle Kabir pronounced that Sayedee is to be "hanged by neck till he is dead". Condemning the death penalty given to their 73-year-old leader, Jamaat activists went on a rampage in cities and towns across the country. Since they believe that the ruling party is trying to split the opposition alliance through the tribunal's verdict, Jamaat men attacked Bangladesh Awami League supporters.
Mr Mukherjee's visit amid such ruckus in the neighbouring country had triggered controversies. Earlier he had claimed that he believed Bangladeshi youths would determine the country's future.
"We have recently seen a reawakening of the youth who recall the extraordinary sacrifices that led to the birth of the nation. The youth of this country will determine it's future," Mukherjee told state-run BSS news agency on the eve of his visit to Dhaka, starting on Sunday.