China and Belarus strengthen diplomatic ties as Xi Jinping visits the country. (Photo : Reuters)
The central banks of China and Belarus signed on Monday a three-year currency swap deal worth 7 billion yuan, which aims to cater to trade and investment and boost economic growth for both parties, the Chinese central bank announced in an online statement.
The statement, released through the bank's official website, further stated that the contract may be subject to extension if agreed upon by both countries.
The two nations have also signed agreements with billions of dollars in value during the recent visit of Chinese President Xi Jinping to Belarus.
These partnerships are regarded as crucial factors in abridging Europe and Asia in terms of trade and investment.
"I hope the two sides will take the opportunity of our meeting to turn the high-level political relationship into more substantial and practical outcomes, and work together to open up a new era for the China-Belarus comprehensive strategic partnership," Xi remarked as he held talks with Belarusian counterpart, Alexander Lukashenko.
Xi, who was the first Chinese leader who had a state visit in Belarus in 14 years, commenced the three-day trip on Sunday.
In a Belarus news agency BelTA report on Monday, China was reported to have offered a credit worth $3 billion to the country's local firms and $4 billion commercial credit to its banks, citing Economy Minister Vladimir Zinovsky.
Moreover, 25 more agreements involving China's provincial governments were also signed on Monday during a Belarusian-Chinese interregional business forum.
Xi's visit to the country reflects that Belarus is vital for the country's "One Belt, One Road" endeavor, said Beijing Normal University Russian and Asian affairs professor Li Xing.
"Belarus is a transport hub for European and Asian countries. If China hopes to set up an economic corridor to the Baltic Sea, cooperation with Belarus is necessary," Li remarked.
Xi emphasized that the two countries must work hand in hand to build the Silk Road Economic Belt, saying that the targeted China-Belarus Industrial Park establishment will serve as the "pearl" on the Belt.
Chinese Academy of Social Sciences-affiliated research fellow Zhao Huirong noted that there is a good foundation for the two nations to enhance their economic partnership, adding that China could use Belarus' advanced manufacturing sector to develop local infrastructure construction.
Bloomberg reported that there are 23 major China-backed projects in Belarus, which lists the Asian giant as its fifth largest trading partner at a global level and its leading partner at a continental scope.
Prior to the state visit, Lukashenko has lauded Belarus' relations with China, stating that he takes "pride in having a friend like China."
Belarus is Xi's last destination for his state visits after taking trips to Russia and Kazakhstan.
These four nations have signed an agreement on May 29 last year, aiming to boost their cooperation for both the "One Belt, One Road" program and the Eurasian Economic Union (EUU).
