It was also agreed that China will support Pakistan in establishing special economic zones, according to sources.
Pakistan's financial woes have dragged the country down to a "low point", its prime minister told Chinese President Xi Jinping Friday (Nov 2), as he seeks funds from Beijing to stave off a fiscal crisis.
China is preparing to roll out the red carpet for Mr. Khan, who is set to arrive in Beijing on Friday, and would be formally welcomed at the Great Hall of the People on Saturday.
The Prime Minister said China Pakistan Economic Corridor (CPEC) had given a great opportunity to Pakistan to bring in foreign investment and to get out of the hard economic situation it was facing.
Neither Xi nor Khan mentioned additional economic aid from Bejing to Islamabad.
China's expected assistance is the second Dollars 6 billion package which Khan has managed to obtain in the last few weeks as Pakistan reeled under severe financial crisis.
During his visit to Saudi Arabia last month, Riyadh committed $6 billion funding which included $3 billion deferred payment for oil imports.
The so-called "CPEC" involves a host of projects with an aim to connect China's Xinjiang province with Balochistan's Gwadar port.
He noted the assistance agreed to by Saudi Arabia, and said that China's support would allow Pakistan to avoid a large International Monetary Fund loan that may attract tough conditionalities which ultimately lead to inflation, squeeze the economy and put additional burden on the people.
"We're expecting substantial relief", Noor Ahmed, a spokesman for the Finance Ministry, said by phone from Islamabad.
"Any such bus service through Pakistan Occupied Jammu & Kashmir State will be a violation of India's sovereignty and territorial integrity".
He also said the two sides should boost people-to-people exchanges, strengthen anti-terrorism cooperation and increase coordination and communication on multilateral platforms such as the United Nations and the Shanghai Cooperation Organization.
Khan is being accompanied on his visit by several senior government officials, including Foreign Minister Shah Mehmood Qureshi, Finance Minister Asad Umar, commerce and trade adviser Abdul Razzak Dawood and Railways Minister Sheikh Rasheed.
The minister said: "Cooperation in agriculture and security realm will be part of our discussion with the Chinese leadership".
PM Khan was received at Beijing Airport by China's Minister for Transport Li Xiaopeng, Ambassador to Pakistan Yao Jing, and other senior government officials.
Pakistan has said the project isn't a major contributor to Pakistan's debt or a cause of the "financial difficulties it faces now faces", Lu said, adding that discussions will focus on "how to better drive forward with the building of the project".
The statements evoked serious concerns in China as the CPEC is the flagship project of President Xi's pet multi-billion BRI. "It has nothing to do with the territorial dispute and it will not affect China's principled position on the issue of Kashmir", Mr. Lu observed.