Enhanced China-Lao relations in the new era will be of great significance for the development of both nations as well as the Asia-Pacific region, Lao Deputy Prime Minister and Minister of Foreign Affairs Thongloun Sisoulith said Saturday.

In an exclusive interview with Xinhua before the Ninth Asia- Europe Meeting Summit (ASEM 9) scheduled for Nov. 5-6, Sisoulith said that Laos has witnessed substantial progress in many aspects since the carrying out of agreements reached by Chinese and Lao leaders at a time when global environment continues to undergo complicated challenges.

"It's even more crucial than ever for the two nations to have closer relations so as to contribute more to regional peace, stability and social advancement," said the Lao deputy prime minister.

Sisoulith thanked China and other friendly countries for their support to Laos in the run-up to the summit, one of the biggest occasions in the history of the land-locked country.

"We are grateful for both financial and spiritual assistance extended by Chinese government and the Chinese people," Sisoulith said.

He added that as the host country, Laos has been preparing for the event with utmost efforts to ensure the summit would bring about tangible results.

The ASEM Summit, a key forum for dialogue between Asian and European countries, is held biennially with Asia and European countries to be the host alternately. Belgium hosted the Eighth ASEM Summit in 2010.

Under the theme "Friends for Peace, Partners for Prosperity", the forthcoming Vientiane summit is considered an ideal opportunity for the under-developed small nation to display to the world its progress in pursuing active development policies. It also is a chance for Laos to express its political intention and will for cooperation with Asian and European countries, according to the deputy prime minister.

The World Trade Organization (WTO) approved Laos' entry into the organization on Oct. 26, 2012, fifteen years after the country submitted its initial application.

With a population of some 6.5 million, the Southeast Asian nation began to launch reforms in 1988, allowing the development of private enterprises and encouraging foreign investment. Since its bid to join the WTO, Laos has achieved consistent, if not dramatic, economic growth.

"Laos will also strengthen cooperation and enhance economic links with Asia and Europe in order to promote export of Laos and attract more investment," Sisoulith noted.

To support Laos' hosting of the ASEM 9, China has sent leading enterprises in construction sector to assist the country in building a National Convention Center, the venue for this year's summit. Chinese companies have also actively involved in the reconstruction and extension of Vientiane Wattay International Airport, as well as the building of ASEM leaders' villa district and other supporting projects for the summit.

As for Chinese Premier Wen Jiabao's planned visit to Laos for the summit, the deputy prime minister said it would be a boost for the two countries to advance bilateral ties.

"Lao-China ties have been uplifted to more comprehensive and strategic partnership as the two governments are trying to implement commitments made by leaders of the two countries," Sisoulith said.

"In general, I don't see any barriers in terms of implementing policies between the two governments except some technical problems," he added.