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China is seeking cooperation with Portuguese-speaking countries on clinching an investment protection agreement to safeguard legitimate rights of investing companies from both sides, said a senior Chinese commerce official in Macau yesterday.

An min, Chinese vice minister of commerce, said at the Forum for Economic and Trade Cooperation between China and Portuguese-Speaking Countries which opened yesterday, that international investment has become an increasingly important approach for countries to engage each other in economic cooperation.

In order to promote investment, capital recipients are bound to resort to legal means to protect investment and thus attract more investors to China.

China has currently clinched IPA with 105 countries, including three Portuguese-speaking countries, namely Portugal, Mozambique and Cape Verde.

"China has become more decisive in securing IPA agreement with foreign countries as more Chinese firms are investing overseas," said the vice minister, adding that China will actively seek negotiations with those Portuguese-speaking countries that it has yet to engage in IPA talks.

China is also willing to strengthen bilateral cooperation with IPA signatory countries and further amend IPA articles.

Figures from the Ministry of Commerce suggested that by the end of 2002, Portuguese-speaking countries were involved in 299 investment projects in China worth US$364 million.

Meanwhile, China has accumulated 82 projects in the Portuguese-speaking countries with an investment of US$184 million.

An said China can provide a huge market for the seven resource-rich Portuguese-language countries.

Elsewhere, development of human resources topped the agenda of the discussion session. In his speech, An said that worldwide human resources construction still falls behind actual demand, with a huge gap existing between developing and developed countries in this regard.

The portuguese-speaking countries, including Angola, Brazil, Cape Verde, Guinea Bissau, Mozambique, Portugal and East Timor, are developing markets.

Chen jian, assistant to China's minister of commerce, said that Macau has been serving as a bridge for trade between China and the Portuguese-speaking countries.

According to figures provided by the Chinese Ministry of Commerce, China's trade volume with Portuguese-speaking countries soared to US$4.73 billion in the first half of 2003, tripling that in the same period of last year.

Macau will soon sign the Closer Economic Partnership Arrangement with the mainland, which will further facilitate its platform role on China's foreign trade, Chen said.

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