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A delegation of China's Silk Road Fund was here Thursday for a meeting to discuss establishing a cooperation fund between Kyrgyzstan and China within the framework of the Belt and Road Initiative.

Kyrgyzstan's first Vice Prime Minister Muhametkaly Abulgaziev stressed at the meeting the need to create a financial instrument of cooperation for both sides.

Kyrgyzstan's location in Central Asia is key to implementing the Belt and Road Initiative, he said.

The initiative China proposed in 2013 aims to build infrastructure and trade networks connecting Asia, Africa and Europe along ancient Silk Road trade routes to seek common development and prosperity.

"Kyrgyzstan participates in the integration of the initiative to create the Silk Road Economic Belt with the development strategy of Kyrgyzstan and the Eurasian Economic Union," Abulgaziev said.

"China is a leading investment partner, which has been making various investments for many years," he said, adding that his country and China have seen active cooperation in sectors including the service industry, mining and agriculture.

At the meeting, the Chinese side said it is ready to make efforts to develop a model of mutual benefit for establishing the Kyrgyzstan-China cooperation fund, while stressing the fund should be set up on the basis of commercial principles.