Transcript of the beginning of the meeting:

Vladimir Putin: Good afternoon. Mr Prime Minister, colleagues, we are happy to welcome you in Moscow.

I'd like to begin this meeting by saying that we are very satisfied with the high level of our relations, especially in economic matters. Last year our trade exceeded $1 billion. To be precise, it was $1.3 billion, which is a good figure.

Our trade turnover has been growing over the past few years. The leaders of our cooperation, our joint companies, are working well. We have good, promising plans in different spheres, and our main objective now is to create the environment for their implementation. Another objective is to diversify our trade and economic relations.

In addition, we are also developing cultural relations. This year we will mark 70 years of our joint victory at Khalkin Gol, an important date in interstate relations.

For decades, Russia and Mongolia have had special, and I would even say unique, relations, relations of strategic partnership. We are happy that our relations are developing consistently.

We welcome you in Moscow. I am convinced that your visit will be filled with practical events and will be fruitful.

Sanjaagiin Bayar: Thank you. I want to express gratitude for the opportunity to meet in Moscow, to discuss major cooperation issues, and, as they say, to synchronise watches. We met in April last year; it was a very good, successful visit. Today, nearly a year later, we would like to specify our plans.

In addition to the achievements you have mentioned - the joint ventures, we should discuss new projects. New times offer new opportunities, and so we think the time is right to specify our plans. We should probably find an even more practical form for our joint interests, as there are many new spheres [for their application].

The situation is difficult in the banking and economic sectors not only for our countries but also for the rest of the world. I believe that this common problem should bring us closer together, especially since we have good traditions and experience in this field. I think we can overcome all the economic and financial problems by helping each other.

I am happy to have this opportunity. I am accompanied by a large delegation. We want to promote relations not only between our countries, but also between parties. United Russia, which you lead, and our party are the ruling parties in their countries. I believe that the development of relations between parties is a vital element of strengthening the spirit of neighbourliness and friendship.

You have said that this is a jubilee year [for our relations]. We plan to jointly celebrate the 70th anniversary of our victory at Khalkin Gol. In addition, this year will see other jubilees, including 60 years since the establishment of our first parity venture, the Russia-Mongolia railway, and 50 years since the development of fallow lands. The latter is still very important for us because we plan to encourage agricultural development and attain the level we planned to reach in the late 1970s and the 1980s. In other words, we have many issues to discuss.

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Several documents were signed following the intergovernmental talks attended by Russian Prime Minister Vladimir Putin and Mongolian Prime Minister Sanjaagiin Bayar. They include:

1. The agreement on encouraging cooperation between the Russian state nuclear energy corporation Rosatom and the Mongolian Department of Nuclear Energy.

2. The memorandum of understanding between the Russian state agricultural bank Rosselkhozbank and the Mongolian Ministry of Food, Agriculture and the Light Industry.

3. The programme of cooperation between the Russian Ministry of Culture and the Mongolian Ministry of Education, Culture and Science for the period of 2009-2011.