Kuala Lumpur: Prime Minister Narendra Modi on Saturday met Chinese Premier Li Keqiang on the sidelines of the ASEAN Summit here and invited China to join an Indian proposed solar alliance that to be launched during the UN climate change summit in Paris.


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Both sides reviewed the global scenario regarding the economic slowdown, climate change and international terrorism, according to a statement from the Indian Prime Minister's Office.


The two countries agreed that terrorism was the biggest challenge and the international community must come together to counter it. The two sides reviewed preparations for the CoP-21 conference in Paris.


Modi briefed Li on the solar alliance initiative and invited China to join it.


In the discussions on trade and investment, Modi reiterated concern over India's large trade deficit with China. They also discussed cooperation in the area of skill development.


Li observed that India had maintained its growth momentum despite the slowdown.


He said China and India -- the world's two largest developing countries -- have more common interests than divergences, Xinhua reported.


If China and India develop mutual trust and cooperation, it will not only achieve win-win results but also contribute to a better world, said Li.


Citing China's "Made in China 2025" and "Internet Plus" drives and India's "Make in India" and "Digital India" programmes, Li said the two countries have compatible development strategies.


China, he said, also stands ready to join hands with India to beef up cooperation in trade and investment, infrastructure construction and financial services, and broaden people-to-people exchanges to further consolidate public support for bilateral relations.


China was willing to work with India to strive for "early harvests" in the construction of the Bangladesh-China-India-Myanmar Economic Corridor, he added.


Beijing, he said, also looked forward to strengthening coordination with New Delhi on multilateral affairs and jointly tackling terrorism and other global challenges.


Modi arrived here early on Saturday for 13th Asean-India Summit and the 10th East Asia Summit on Sunday.