Visiting Chinese Finance Minister Xie Xuren and his Japanese counterpart Fukushiro Nukaga held talks yesterday on bilateral cooperation on such global issues as the IMF reforms, development and climate change.

The talks have been the Second Japan-China Finance Dialogue since the two countries decided to establish a regular dialogue mechanism on the sidelines of the Sixth Asian-European Finance Ministers' Meeting in the northern Chinese port city of Tianjin in June 2005.

During the ministerial talks, the two sides had an in-depth exchange of views on recent macroeconomic development on global economy, Asian economy, as well as the economies of both countries, said a joint press release after the dialogue.

The two ministers discussed fiscal policies of the two countries, such as policy measures for the rapidly aging society with low birthrate and the fiscal system for the central-local government, it said.

They also exchanged views on regional cooperation, particularly the ASEAN+3 financial cooperation such as the Chiang Mai Initiative and the Asian Bond Markets Initiative.

At the conclusion of the dialogue, which was held in advance of Chinese President Hu Jintao's visit to Japan, the two sides reaffirmed that the Japan-China dialogue contributes to promoting the "Mutually Beneficial Relationship Based on Common Interest" between the two countries in the field of finance.

The two ministers agreed to hold the next Japan-China Finance Dialogue in China. The First China-Japan Finance Dialogue was held in Beijing on March 25, 2006. During the talks, then Chinese Finance Minister Jin Renqing and his Japanese counterpart Sadakazu Tanigaki discussed bilateral, regional and global financial and economic situations.