CHINA and Laos reached a comprehensive agreement yesterday to boost all-round cooperation, with the view to furthering traditional friendship and bilateral ties.

The two nations also signed seven cooperation agreements on the economy, technology, energy and e-governance after talks between visiting Premier Wen Jiabao and his counterpart in Laos, Bouasone Bouphavanh.

Wen arrived in Vientiane yesterday evening on his first foreign visit since being re-appointed premier.

Wen is also scheduled to attend the 3rd Summit of the Great Mekong Subregion (GMS) countries ?China, Laos, Vietnam, Cambodia, Thailand and Myanmar ?to be convened in the Lao capital today. After completing his visit to Laos, Wen will join leaders from the other five GMS members, as well as representatives from the Asian Development Bank, at the summit and attend the opening ceremony of a 1,800-km international road from Kunming City, China, to Bangkok in Thailand.

The GMS, established in 1992, promotes economic and social development, irrigation and cooperation within the six Mekong countries.

Business leaders from the six countries sharing the Mekong River held discussions yesterday on the key challenges in enhancing trade and investment in the GMS.

About 320 million people live within the GMS region with their common link, the Mekong River, winding its way 4,200 km through the region. The great majority of the people live in rural areas where they lead subsistence or semi-subsistence agricultural lifestyles.

The area boasts abundant natural resources and huge development potential. With a long history of cultural and economic exchanges among the nations, the area has formed peculiar cultural and economic characteristics of the six nations sharing the river, based on different folk customs and natural landscape.(Xinhua)