Beijing - The prime ministers of China and Japan on Friday pledged to cooperate in maintaining stability in the face of the global financial crisis.

Chinese Prime Minister Wen Jiabao and Japanese Prime Minister Taro Aso held talks amid a series of bilateral meetings before a summit of Asian and European leaders in Beijing on Friday and Saturday.

Wen told Aso that the two nations should have "more policy dialogue and coordination to maintain stability in the financial markets," the Chinese foreign ministry reported.

Cooperation between China and Japan in the face of the international financial crisis was "vital for the stability of Asia," the ministry quoted Wen as saying.

Japan wanted to "enhance communication and coordination on major issues such as international finance" and the six-party talks on North Korea's nuclear weapons programme, it quoted Aso as saying.

Wen said the two nations should also expand economic and technological cooperation.

Both leaders noted that China and Japan had reached a basic consensus over disputed areas of the oil and gas-rich East China Sea and would work together to solve outstanding problems, the ministry said.

The two sides signed agreements on consular and legal services after the meeting, it said.

A total of 16 Asian leaders and 27 leaders of EU nations are in Beijing to attend the seventh biannual ASEM summit on Friday and Saturday.

The ASEM summit will also focus on the financial crisis and discuss measures to combat climate change caused by global warming.