Thaksin Shinawatra, Thailand's prime minister, on Sundayheld conciliatory talks with his Muslim neighbours about the conflict in southern Thailand in a retreat from his earlier refusal to discuss the violence with fellow leaders.

At the hurriedly organised meeting on the sidelines of the Association of the South-east Asian Nations summit, Mr Thaksin told his Malaysian and Indonesian counterparts that he was prepared to work with them to fight Islamic extremism and crime.