Chinese President Xi Jinping and his Indonesian counterpart, Susilo Bambang Yudhoyono, agreed here Wednesday to lift bilateral ties to a comprehensive strategic partnership.

In his talks with Yudhoyono, Xi also proposed to establish an Asian infrastructure investment bank so as to promote interconnectivity and economic integration in the region.

Both China and Indonesia are major developing countries and important emerging market economies with regional and global influence, noted the Chinese president.

The two countries pursue similar development goals, share extensive common interests in safeguarding regional prosperity and stability, and have a lot of common language on international affairs, Xi said, adding that their relations are reflected not only at the bilateral level, but also at regional and global levels.

Meanwhile, the mutually beneficial cooperation between the two countries has scored fruitful achievements and enjoys a promising prospect, said the Chinese president.

Noting that profound and complicated changes are taking place in global and regional landscapes, Xi pointed out that it is an inevitable choice for the two countries to further strengthen their strategic cooperation.

China regards Indonesia as a priority in its diplomacy with neighboring countries, and stands ready to comprehensively deepen bilateral cooperation so as to realize common development for the benefit of both peoples, Xi said.

Deepening bilateral cooperation, he added, will also help maintain the long-term prosperity and stability in Asia, boost unity and cooperation among developing countries, and promote world peace and development.

For his part, Yudhoyono said Indonesia-China ties have been developing rapidly since the two countries forged a strategic partnership in 2005.

With both China's national strength and its international status on the rise, it is of vital importance to the region and the world at large that China maintains stability and development, added the Indonesian leader.

Indonesia, he said, attaches great importance to its ties with China and hopes to seize the opportunity of the establishment of the bilateral comprehensive strategic partnership to further boost cooperation between the two countries.

During their talks, the two leaders agreed to boost China-Indonesia cooperation in an all-around manner so as to expand bilateral exchanges and cooperation into more areas and raise them to higher levels.

Firstly, the two sides pledged to steer the development of the overall bilateral ties in the right direction, support each other on issues of major concern, strengthen strategic mutual trust and lay a solid foundation for the long-term and stable development of bilateral relations.

Secondly, the two countries vowed to boost cooperation in such areas as infrastructure construction, manufacturing, agriculture, investment and financing, so as to create new growth points and increase bilateral trade to 80 billion US dollars by 2015.

They agreed to encourage the active participation of Chinese enterprises in the construction of Indonesia's six major economic corridors, and support the building of a joint comprehensive industrial park in the Southeast Asian country.

The two countries also promised to strengthen cooperation in the fields of oil, natural gas and new energy, so as to forge a long-term and reliable energy cooperation partnership.

To deepen fiscal and financial cooperation, they vowed to extend a 100-billion-RMB (about 16.3 billion dollars) bilateral currency swap agreement with the prospect of further expanding its scale.

Thirdly, the two sides agreed to enhance maritime cooperation, establish an inter-governmental fishery cooperation mechanism, and launch negotiations on fishing arrangements.

They also pledged to establish an aerospace cooperation mechanism, and carry out cooperation in such fields as space tracking and control, and satellite launch and application.

Fourthly, the two countries agreed to strengthen security communication and coordination through defense consultations and navy dialogues, and thus deepen China-Indonesia security cooperation as well as that between China and the entire Association of Southeast Asian Nations (ASEAN).

They also vowed to beef up exchanges and cooperation in fighting cross-border crimes and terrorism, and in disaster prevention and relief.

Fifthly, China and Indonesia agreed to expand cultural and people-to-people exchanges, including promoting exchanges between the two countries' youths, media, think tanks and religious organizations, and enhancing cooperation in tourism and wild-animal studies.

Meanwhile, China voiced its readiness to establish a Chinese culture center in Jakarta and a general consulate in Bali Island and to invite Indonesian Shaykhs al-Islam to visit China.

Sixthly, the two countries pledged to enhance coordination and cooperation on regional and global affairs and jointly promote the development of the China-ASEAN strategic partnership.

The Chinese side said it supports Indonesia in hosting the 21st informal economic leaders' meeting of the Asia-Pacific Economic Cooperation (APEC), and as the host of the APEC gathering next year, stands ready to strengthen communication and coordination with Indonesia to ensure that the event will meet its targets.

The Indonesian side voiced its support for China in hosting the 2014 APEC meeting.

In order to advance interconnectivity and economic integration in the region, Xi said, China proposes to set up an Asian infrastructure investment bank.

Beijing stands ready to offer financial support for infrastructure construction in developing countries in the region, including ASEAN members, Xi said.

The new bank, he added, will cooperate with existing multilateral development banks to make full use of their respective advantages and jointly promote the sustained and stable growth of the Asian economy.

After the talks, the two leaders witnessed the signing of an intergovernmental five-year plan on economic and trade cooperation and a series of other cooperation agreements covering industrial parks, fishery, tourism, meteorology and outer space. They also jointly met the press.

Prior to their talks, Yudhoyono held a grand welcome ceremony for Xi at the presidential palace. The Indonesian leader said he believes that Xi's visit will lift bilateral ties to a higher level and become a milestone in the development of bilateral relations.

On Wednesday evening, Xi attended a welcome banquet hosted by Yudhoyono. The two leaders exchanged views on strengthening bilateral cooperation and jointly promoting regional development and prosperity.

Yudhoyono responded positively to China's proposal of establishing an Asian infrastructure investment bank.

On Wednesday afternoon, Xi's wife, Peng Liyuan, visited a local public-interest organization dedicated to preserving and promoting traditional Indonesian culture.

Both the Chinese nation and the Indonesian nation have splendid culture, and the two sides should strengthen exchanges and learn from each other, Peng said.

Xi arrived here earlier Wednesday for a two-day state visit to the Southeast Asian country. Then he will visit Malaysia before traveling to the Indonesian resort island of Bali for the APEC meeting.