TIMELINE - Business, pleasure, benefit in China-Taiwan thaw

(Reuters) - Historic regular tourist flights between Taiwan and China began on Friday, in a show of conciliation between the long-time rivals whose fractious relations have been regarded as one of north Asia's most dangerous flashpoints.

Ties between China and the self-ruled island over which it claims sovereignty have warmed since the landslide election victory of President Ma Ying-jeou, whom analysts say Beijing looks upon more favourably than his predecessor.

Here are some examples of how relations between the two have developed from the time Ma was elected.

-- March 22, 2008: Ma elected. Pledges to boost local economy by improving trade with China, the world's No. 4 economy, and loosening travel restrictions to attract more than 1 million Chinese visitors to the island a year.

-- April 3: Taiwan regulators approve plan by Fubon Financial, one of the island's largest financial services groups, to buy a stake in China's Xiamen City Commercial Bank, a milestone move and the first such investment.

-- April 12: Taiwan vice president Vincent Siew meets briefly with Chinese President Hu Jintao at annual Boao economic forum; both say they want closer economic ties.

-- On same day Beijing approves Taiwan banks' entry into China market, saying they can set up legal entities in markets such as Hong Kong and Macau, which can then open branches in China or buy into mainland lenders.

-- June 12: Taiwan passes bill allowing its banks to exchange Chinese currency for Taiwan dollars. Previous rules let only up to 20,000 yuan ($2,900) be exchanged per transaction on two groups of offshore Taiwan-held islands, Kinmen and Matsu, although Taiwan's major cities saw black market trade.

-- June 12/13: Beijing hosts first top-level talks in almost a decade. The two sides sign a deal to launch first regular weekend flights since 1949. Agreeing to set up representative offices to handle visa issues customarily handled in Hong Kong, they delay talks on direct cargo flights, a Taiwan priority item.