India and China have agreed to resume direct air services after nearly five years and work on resolving differences over trade and economic issues, New Delhi said, as relations continue to thaw after a deadly 2020 border clash.

It was the latest thaw in relations between the two countries, whose troops were involved in deadly skirmishes high in the Himalayas in 2020.

China and India have agreed to resume direct commercial flights, in the latest sign of an easing of tensions between the world’s two most populous countries.