India, China ties essential for Asia, world: PM

But stresses on early resolution of boundary dispute

Prime Minister Manmohan Singh said Monday that India and China's relationship is essential for stability and prosperity in Asia and the world, while stressing the need "for an early resolution of the boundary dispute."

"There are many areas of convergence between us. We agreed that the relationship is of growing significance and essential for peaceful development and stability and prosperity in the region and the world," Manmohan Singh said after the two countries signed many economic agreements here on the first international visit of Chinese premier Li Keqiang.

Noting India and China had "differences in more recent times", the Prime Minister stressed on the need "for an early resolution of the boundary dispute" and said the two countries agreed that "special representatives of the two countries will soon meet to continue the discussion for mutually acceptable boundary settlement".

The Prime Minister said he expressed India's concern on shared rivers between the two countries.

"We agreed to expand cooperation in trans-border rivers," said the Prime Minister.

According to the Prime Minister, "the rise of China was good for the world and has enough space for the growth of the two countries".

"Economic cooperation is important in our relationship," said the Prime Minister, while stressing concern on the trade deficit between India and China.

The Prime Minister also invited Chinese companies to invest in the growing infrastructure sector and said there were new opportunities for economic cooperation, which will be identified through the strategic economic dialogue.

"We also agreed to share interest in an open multilateral trading system," said the Prime Minister.