DHAKA, Jan 11: Chinese Premier Zhu Rongji on Friday held talks with Bangladesh Prime Minister Khaleda Zia as he arrived in Dhaka for a trip focused on extending economic ties.

Zhu said the two countries had had “an equal, cooperative and mutually beneficial relationship” since Dhaka and Beijing established diplomatic relations 26 years ago.

“Sino-Bangladesh relations have withstood the test of times with the concerted efforts of both the two governments and the two peoples,” he said in a statement, adding that friendship between them was conducive to “peace, stability and development in the region.”

“China is our traditional friend and ... Zhu’s visit will help further our economic ties,” Bangladesh Foreign Secretary Shamser Mobin Chowdhury said earlier.

Zhu and Zia later held formal talks which official sources said focused on boosting bilateral trade and also signed seven agreements on defence and economic cooperation.

China has funded a number of construction projects in Bangladesh and is Dhaka’s main source of defence equipment.

Bilateral trade, which stood at 714.2 million dollars in 1999, is heavily weighted in China’s favour.—AFP