Chinese Premier Li Keqiang (L) holds a welcome ceremony for visiting Mongolian Prime Minister Noroviin Altanhuyag before their talks in Beijing, Oct 25, 2013. [Photo/Xinhua]

BEIJING - Chinese Premier Li Keqiang and Mongolian Prime Minister Altankhuyag Norov held talks in Beijing on Friday, pledging to promote their strategic partnership and strive for pragmatic cooperation.

As important neighbors for each other, China and Mongolia have witnessed unprecedented comprehensive cooperation in various areas, Li said.

China has always followed the path of peaceful development and a good-neighborly foreign policy while prioritizing economic development, improving people's wellbeing and maintaining peace and stability in the region and the world, he said.

"This is China's basic concept in developing relations with neighboring countries," Li said.

Li said the Chinese government attaches great importance to relations with Mongolia and is willing to further the strategic partnership with Mongolia, following the trend of economic globalization.

In increasing political trust and strategic cooperation, Li said both sides should maintain high-level exchanges and cooperation in wider areas while supporting each other on core interests and issues of major concern.

China and Mongolia should vigorously build infrastructure and make overall plans for connectivity, including rail, road, natural gas and power transmission projects, the premier said.

He called for all-round trade relations with major projects cooperation as the locomotive. China supports Mongolia in constructing industrial parks and economic zones and is willing to discuss a free trade area on the border region, Li said.

China and Mongolia should strengthen financial cooperation and perfect the investment climate, including active enlargement of the currency swap scale and settling bilateral trade in local currency, Li said.

He also urged increased cultural and youth cooperation and exchanges between local governments.

Li called on both countries to use the 65th anniversary of diplomatic ties next year to consolidate people-to-people links, make arrangements for activities such as the Year of China-Mongolia Friendship, promote institutionalization of youth exchanges and set up cultural centers for each other.

Altankhuyag said his country admires China's development achievements, adding China's policy on friendly ties with its neighbors had created sound conditions for development.

Friendly relations with China are a priority of Mongolia's foreign policy, he said, vowing to further expand cooperation in such areas as trade, energy, interconnection, finance, agriculture and culture.

After their talks, the two premiers signed a document that outlines key areas of cooperation for the development of their strategic partnership in the medium and long term.

They also witnessed the signing of several agreements in trade, aviation, technology, finance and infrastructure construction.