National Security Adviser Shivshankar Menon has said that India and China have made progress on dealing with their differences on the boundary issue.

Speaking to media persons on Monday, Mr. Menon said the two countries are in the process of agreeing on a framework to settle the boundary. He also said right now we are at the second stage of a three-stage process.

On the issue of the two countries showing Arunachal Pradesh and Aksai Chin within their boundaries in e-passports and visas, the NSA said nothing has changed and this has to be viewed in the perspective of the existing differences over their boundary.

Earlier addressing the function, Mr. Menon said irrespective of political transitions, the leadership in both countries is now trying to diversify the economic ties to investment and co-production while trying to restore trade balance.