MEMORANDUM OF UNDERSTANDING BETWEEN THE GOVERNMENT OF THE REPUBLIC OF THE PHILIPPINES AND THE GOVERNMENT OF THE PEOPLE’S REPUBLIC OF CHINA ON COOPERATION ON THE BELT AND ROAD IN…

The Government of the Republic of Philippines and the Government of the People’s Republic of China (hereinafter referred to as “the Participants”);

Recognizing that the People’s Republic of China seeks to take its remarkable economic progress and development even further by offering to assist in the development of other countries to help build stronger economies and therefore more and richer markets for the commercial and cultural exchanges along the ancient Silk Route which it hopes to enhance with its Belt and Road Initiative;

Recognizing that the most sustainable growth of a country should not be at the expense of another, and that national progress is not a zero-sum game;

Sustainable progress requires an understanding that only in common prosperity lies the sustainable growth and prosperity of great nations;

The Participants resolved to be guided by the following principles:

Part I

Objectives and Cooperation Principles

1. The Participants shall work together, within the framework of the Belt and Road Initiative, with the strictest respect for national laws, rules, regulations and policies, so as to realize sustainable growth and development through the Belt and Road Initiative and translate economic complementarities and people-to-people exchanges into advantages for practical cooperation and the sound sustainable development of all countries involved.

2.  The Participants shall be guided by the following principles:

a.  Mutual respect for territorial integrity and sovereignty, and complete transparency in their common endeavors to expand mutually beneficial cooperation so as to realize sustainable development and common prosperity through extensive consultation, joint contribution, and the sharing of benefits;

b. In accordance with the vision of the Belt and Road Initiative, to maximize existing bilateral, regional, and multilateral mechanisms, thereby achieve synergies faster.

Part II

Areas of Cooperation

The Participants endeavor to cooperate in the following areas of shared interest, in accordance with their respective national laws, rules and regulations:

1. Policy Dialogue and Communication. The Participants will conduct regular dialogues on key macroeconomic policies and development strategies.

2. Infrastructure Development an d . Connectivity. The Participants will encourage infrastructure cooperation and interconnectivity in the transportation, telecommunication, and energy sectors, climate and disaster resiliency, and other areas of mutual interest.

3. Cooperation on Trade and Investment. The Participants will enhance communication and exchanges to improve trade flows, investment environment, and adhere to respective national customs rules, regulations, documentation and control to facilitate lawful trade.

4. Financial Cooperation. The Participants will expand the use of local currencies in bilateral trade and investment; and provide financial support and financial services for that purpose. The Participants will continuously develop and implement cooperation mechanisms to deal with financial risk and crisis; and increase exchange and cooperation between credit investigation regulators and interbank institutional investors.

5. Social-cultural Exchanges . The Participants will promote people-to-people exchanges, cultural cooperation, education, travel ,and encourage stronger communication between their peoples.

Part III

Modes of Cooperation

Modes of cooperation may include the following:

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