JAKARTA (AFP, Reuters) - Japanese Prime Minister Shinzo Abe and Chinese President Xi Jinping, in only their second meeting since taking office, agreed on Wednesday to work on improving ties damaged by territorial disputes and a bitter wartime legacy, Jiji news agency quoted the Japanese leader as telling reporters.

After the meeting with Xi on the sidelines of an Asia-Africa summit in Indonesia, Abe also said the two leaders agreed to contribute to regional stability and prosperity by promoting"mutually beneficial strategic ties", Jiji reported.

Tensions between Asia's two biggest economies have flared in recent years due to feuds over wartime history as well as territorial rows and regional rivalry. Memories of Japan's past military aggression run deep in China and Beijing has repeatedly urged Japan to face up to history.

But the meeting on Wednesday could promote a cautious rapprochement that began when Abe and Xi met at a summit in Beijing late last year.