Secretary Florinda Chan and the Consul General of Holland in Hong Kong and Macao, Jochum Haakma, today (21 August) signed an agreement designed to encourage investment protection on behalf of the two governments.

The agreement, entitled "Agreement for Encouragement and Reciprocal Protection of Investments between the Government of the Netherlands and the Government of the Special Administrative Region of Macao of the People's Republic of China," would take effect after the two governments officially passed legislation for the implementation of this agreement.

According to the agreement, the two governments would introduce measures to consolidate, broaden and strengthen bilateral economic links, encourage exchanges of capital and technology, promote economic development and ensure that investments in the other's territory were protected and fairly treated according to established laws and regulations.

Secretary Chan envisioned that the agreement would promote mutual investment and economic development, and would broaden the economic link between Macao and the Netherlands.

Consul General Haakma reaffirmed that Macao's geographic advantage and experience in the Guangdong and Fujian Markets would be helpful to western countries entering the Chinese market.