China and India signed Monday an agreement on political guiding principles on solving the border issue in New Delhi.

Wu Dawei, Chinese deputy foreign minister, who is accompanying Chinese Premier Wen Jiabao on his official visit to India, told reporters after the signing ceremony that the agreement has laid foundations for solving the border issue between the two countries.

Wu, in charge of Asian affairs, said that the two sides still need to make joint efforts as the demarcation of the border is concerned.