The leaders of North and South Korea have signed a joint declaration calling for a permanent peace deal on the Korean Peninsula.

South Korean President Roh Moo-hyun and his counterpart, Kim Jong-il, issued the declaration after three days of historic talks in Pyongyang.

They called for international talks to discuss a treaty to replace the armistice that ended the Korean War.

They also agreed economic steps, like resuming cross-border freight service.

The summit is only the second ever between leaders of the two nations.

'Permanent peace'

Mr Roh and Mr Kim signed the eight-point declaration.

"The South and North share the view that they should end the current armistice system and build up a permanent peace system," the declaration said.

It called for leaders of nations concerned to meet on the Korean Peninsula and agree an end to the 1950-1953 war.

Any such talks would likely involve the US and China, which, along with North Korea, signed the armistice that ended the war. South Korea did not sign and remains technically at war with the North.

The two sides also agreed to resume freight rail services across the heavily fortified border, for the first time in more than five decades.

Agreements were also reached on establishing a joint fishing zone in a disputed sea area and on holding regular summits, although no timetable was given for these.

PHOTO CAPTION

President Roh (left) and Kim Jong-il have held three days of talks

BBC (summarized)