Quito, October 31 (RHC-Xinhua) -- Ecuadorian President Rafael Correa inaugurated the 8th Binational Cabinet meeting with his Peruvian counterpart Ollanta Humala on Thursday, local media reported.

The meeting, taking place at the border town of Arenillas, about 530 km southwest of the capital Quito, brought together the two presidents and cabinet ministers to discuss social issues, defense, trade, environment, infrastructure, and border issues.

This meeting "is a clear sign of the changing times for Ecuador and Peru, both of which have overcome problems that marred its borders with pain in the past," said the host president Correa at the opening ceremony, referring to the peace agreement signed in Brasilia, which put an end to old territorial disputes between the two countries.

The first meeting of the Binational Cabinet was held in Tumbes, Peru in June 2007 and the second was held in Machala, Ecuador, in October 2008. The binational cabinets continue to be held alternately in each country.

During Thursday's meeting, the ministers of the two countries defined progress on border policy and identified problems that still exist in this country.

"Definitely one of the most important legacies we will leave to our people is the friendship of the two countries. The results are obvious: enterprises have increased, energy integration has been promoted, and efficient use of pipelines has made progress," Correa said.

Peruvian President Ollanta Humala agreed that both countries have made progress in peace development and improved the well-being of the people living in the border areas, while admitting there were unresolved problems.

"We have challenges to face up to. We have the Puyango-Tumbez project that needs to be put into practice. People in the border area are demanding that the project must benefit our two peoples," he said.