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The signing of a Free Trade Agreement (FTA) between Iceland and China would be "a natural continuation of bilateral cooperation" between the two countries, said a senior official of Iceland on Thursday.
In an exclusive interview with Xinhua, Icelandic Minister of Foreign Affairs and External Trade Ossur Skarphedinsson noted that his country is the first European nation to negotiate a free trade agreement with China.
The agreement would be vital for bilateral trade in goods and services between both sides, and more importantly, a vital part to bilateral cooperation in future, he said.
After six rounds of talks, a final FTA is expected to be signed in Beijing during Icelandic Prime Minister Johanna Sigurdardottir's official visit starting on Saturday.
"The expectant FTA would undoubtedly create more opportunities for future cooperation," he said.
"We have very sound relationships in the past, and we are building on this sound relationship, in the last few years," Skarphedinsson said. Iceland is the first European state that recognized China's full market economy status.
"We as a small nation has admired China, because it doesn't treat nations differently according to their sizes. China has always respected Iceland despite size difference." Skarphedinsson said.
Skarphedinsson also thanked China for its staunch support in the past.
"Recently, in 2008, when our banking system collapsed, we didn't have a lot of friends, but China, very generously offered us a currency-swap agreement," Skarphedinsson said, "The fact that China believed in Icelandic economy, that is very important!"
Ossur Skarphedinsson
Icelandic Minister of Foreign Affairs and External Trade
