Barbados fortifies economic cooperation with China

By added on 24/08/2012

The Barbados government has welcomed the signing of an Economic and Technical Agreement with China as a sign that the relationship between the countries is strengthening, reports Tax News.

With the protracted downturn that is being experienced in Barbados's main economic partners - the United States and Europe, Barbados has joined other international financial centres' efforts to build economic relations with the high growth economies of emerging markets, and in particular Asian economies for new growth potential.

In recent years, China-Barbados bilateral trade has grown rapidly. Trade volume between two countries reached USD150m in 2011, double that recorded in 2010. China has said it is keen to expand on bilateral trade, and open access for investment and exports from Barbados.

The signing of the latest agreement builds upon the legislative framework that already is in place to encourage trade and investment following previously concluded agreements for the avoidance of double taxation, and the reciprocal promotion and protection of investments.

Welcoming the new pact, the island's Minister for Foreign Affairs, Maxine McClean stated: "In May 2012, we celebrated 35 years of diplomatic relations and this Economic and Technical Agreement [further] demonstrates the strengthening of our friendship and bilateral relations."

China has played a key role also in Barbados's development, providing financial and technical assistance in a number of key construction projects.