China and India are slated to boost economic cooperation and mutual trust through dialogue as bilateral trade surges, officials said Monday at the one-day first meeting of China-India Strategic Economic Dialogue (SED) in Beijing.

China and India face similar problems as both countries undergo rapid industrialization and urbanization, said Zhang Ping, head of the National Development and Reform Commission, the country's top economic planner.

The SED, which is partly aimed at boosting mutual trust, will enhance cooperation between China and India in various fields and help the two countries find solutions to common problems, Zhang said.

This will help promote the long-term economic development of the two economies and will have a profound impact on people in China and India, Zhang said.

Closer cooperation will not only benefit the two countries, but also help improve the power and confidence of all developing countries, he said.

The healthy development of the Chinese and Indian economies will exert a positive influence on the growth and recovery of not only Asia, but also the rest of the world, Zhang added.

Montek Singh Ahluwalia, deputy chairman of the Planning Commission of India, said the strategic dialogue reflects enhanced economic engagement between the two countries.

"As we try to take our relationship to a new level, a further opening of markets and improvement of investment climate are challenges that we need to address together," Ahluwalia said.

He said the growing India-China relationship is an important element of changes that are taking place in the global order.

"As emerging economies, we are making our viewpoint increasingly felt on important global issues," Ahluwalia said.

Chinese Premier Wen Jiabao and his Indian counterpart Manmohan Singh agreed to establish a regular bilateral strategic economic dialogue mechanism during Wen's visit to India last December.