China has defended the Free Trade Agreement with Maldives saying that it serves the interests of the two countries and the region.
At a press breifing, Chinese Foreign Ministry spokesman Geng Shaung expressed hope that the on-going maiden visit of President Abdulla Yameen Abdul Gayoom will enhance mutual trust in all areas and deepen cooperation, move forward the steady development of bilateral relations and thus bring benefit to the two countries.
Answering a question posed by the press regarding the criticism of the Maldivian Opposition on the government's signing of Free Trade Agreement, the Spokesman said that the negotiations on the trade agreement is an important consensus between the leaders of two countries and corresponds with the trend of the times. The two countries followed the principle of equality and mutual benefit to conduct many rounds of negotiations for a long time and now the countries reached the Free Trade Agreement, he added. Chinese Foreign Ministry spokesman assured that the Free Trade Agreement not only serves the interest of the two countries but also facilitate the trade in the region.
Under the Free Trade Agreement, China will exempt its Maldivian imports, mostly fisheries products, from tax. Hong-Kong based South China Morning Post reported that in turn, the Maldives would waive tariffs on its Chinese imports.
Moreover, a researcher at the Institute of International Relations at the Shanghai Academy of Social Sciences said that China is assisting the Maldivian government to develop the country and help to enhance its tourism industry. The researcher added that this can also be considered a part of the Belt and Road Initiative, so that Maldives could be more involved in the initiative. He concluded expressing that Maldives was strategically important to the massive infrastructure project China was promoting.