China has planned to establish a special fund to support its investment in Russia and is willing to develop it into a joint project, said a senior Chinese official at an international economic forum here Monday.

China and Russia held talks on the first day of the seventh Baikal Economic Forum, discussing current bilateral trade and investment environment.

Wang Huajiang, vice director of the northeast China revitalization department of China's National Development and Reform Commission (NDRC), said at the meeting that China is preparing the fund, which focuses on providing financial service to Chinese small and medium-sized enterprises that are willing to invest in Russia.

Wang said China welcomes Russia to join the fund project in the second phase at a ripe time.

The NDRC said the joint fund would help investors from both countries and facilitate implementation of major cooperation projects.

Both China and Russia are seeking ways to further develop bilateral investment and trade, especially in promoting cooperation between Russia's Far East and Eastern Siberia and Northeast China.