KATHMANDU, Oct. 13 (Xinhua) -- Leaders of China and Nepal reached broad understanding through in-depth exchange of views on bilateral relationship and regional and international issues of common concern, the two sides said in a joint statement issued on Sunday after Chinese President Xi Jinping's state visit to Nepal.

According to the statement, both sides decided to, on the basis of the Five Principles of Peaceful Coexistence, Charter of the United Nations and principles of good neighborliness, elevate China-Nepal Comprehensive Partnership of Cooperation Featuring Ever-lasting Friendship to Strategic Partnership of Cooperation Featuring Ever-lasting Friendship for Development and Prosperity.

"The bilateral relationship between China and Nepal has entered a new phase," said the statement.

It said China and Nepal take the Belt and Road Initiative as an opportunity to deepen mutually-beneficial cooperation in all fields in a comprehensive manner, jointly pursue common prosperity and dedicate themselves to maintaining peace, stability and development in the region.

The two sides agreed to respect each other's independence, sovereignty and territorial integrity, and respect and accommodate each other's concerns and core interests.

The two sides agreed to strengthen cooperation in various fields of economy including trade, tourism, investment, capacity of production and improving people's livelihood.