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China is to provide neighboring Laos with a package of assistance covering agricultural machinery, finance and training under an agreement signed by the two countries on Friday.

 

The agreement was announced in a joint communiqué on the week-long state visit by general secretary of the Central Committee of the Lao People's Revolutionary Party and Lao President Choummaly Sayasone, a guest of Chinese President Hu Jintao.

 

"Both sides agreed to further cooperation in the fields of economy and trade, electric power, minerals, agriculture and tourism," says the communiqué.

 

"Both countries will support and encourage two-way investment of their enterprises and expand trade in border areas."

 

The two sides exchanged notes on China's provision of agricultural machinery to Laos and on the provision of training for Lao government officials.

 

The two presidents agreed that high-level exchanges between the two parties and countries served as a guideline for the development of bilateral ties.

 

They expressed readiness to expand contacts between their political parties, parliaments and local governments and people-to-people exchanges to draw on each other's experiences in running the party and the country and enhance mutual understanding and friendship.

 

China reaffirmed that it respects the independence, sovereignty and territorial integrity of Laos and supports the Lao government in sticking to socialism and in developing its economy and society.

 

The Lao president reiterated that his government would adhere to the one-China policy, oppose any attempt to create "two Chinas" or "one China, one Taiwan" and support China's peaceful reunification.

 

They would continue to strengthen cooperation in international forums such as the Association of Southeast Asian Nations and its regional forum, the Development of the Great Mekong Sub-region, East Asia Summit and the United Nations, says the communiqué.

 

Choummaly also invited Hu to visit Laos and Hu accepted the invitation.

 

(Xinhua News Agency June 30, 2006)