2ND LD: Japan, Spain agree to cooperate on free trade accord, Afghanistan+

TOKYO, Sept. 1 Kyodo -
(EDS: UPDATING WITH JOINT PRESS CONFERENCE BY KAN, ZAPATERO)
Japanese Prime Minister Naoto Kan and his Spanish counterpart Jose Luis
Rodriguez Zapatero agreed Wednesday to cooperate on launching negotiations
toward the signing of a free trade agreement between Japan and the European
Union and providing assistance to Afghanistan.
Kan and Zapatero told reporters following their summit talks they had also
reaffirmed that the two countries will work together to reform the United
Nations Security Council and deepen ties in the areas of economy, politics,
science, technology and culture.
Japan is eager to forge an FTA with the 27-nation regional bloc, but EU
President Herman Van Rompuy has expressed caution, noting that Japan's efforts
to ease nontariff barriers are not yet sufficient.
However, Zapatero said Spain supports the envisioned Japan-EU FTA, saying the
pact would be ''indispensable'' for the development of both economies.
The Spanish premier also said he and Kan agreed on the importance of improving
security conditions in Afghanistan as a matter of global security and that the
two countries will cooperate in assisting the agricultural sector in the
conflict-ravaged country.
Zapatero indicated Spain's support for Japan's bid to become a permanent member
of the U.N. Security Council, saying he believes Tokyo should play a bigger
role as a major power.
He said Spain will designate 2012 as the year of Spain in Japan and hold
various cultural events to enhance Japanese understanding of modern Spain. Kan
expressed his readiness to support the idea.
Before the two leaders' joint press conference, Japanese Foreign Minister
Katsuya Okada and his Spanish counterpart Miguel Angel Moratinos Cuyaube
exchanged notes to bring a bilateral social security pact into effect on Dec.
1.
Under the accord, the two countries' nationals will no longer be required to
pay pension premiums in both countries when living as expatriates. It is
expected to lessen the burden on business people and promote bilateral
personnel and economic exchanges.
Okada and Spanish Science and Innovation Minister Cristina Garmendia also
signed a pact to deepen bilateral cooperation in the area of science and
technology.
Earlier in the day, the Spanish premier tried to allay investors' concerns over
his country's fiscal health, saying his government has been implementing
austerity measures and various structural reforms to secure economic growth.
Zapatero, who kicked off his three-day Japan visit on Tuesday, told the Japan
National Press Club that Spain aims to reduce its fiscal deficit amounting to
about 11.2 percent of gross domestic product in 2009 to 6 percent in 2011 and 3
percent in 2013 through cuts in civil servants' wages, tax hikes and pension
reforms.
''We have never thought of asking for support from the International Monetary
Fund or European Union. Other EU states and global markets should regard it as
fortunate that Spain maintains fiscal soundness,'' the premier said in Spanish.
He stressed that as a member of the European Union, Spain has been providing
financial contributions to Greece, a fellow EU nation hit by a debt crisis, and
that Spanish fiscal conditions are better than other European nations in terms
of the amount of outstanding government bonds.
The premier also said the credibility of many Spanish banks was proved through
EU-wide ''stress tests'' to gauge the capital health of financial institutions
and that his government has no plan to inject public funds into the nation's
banking system.
Zapatero said Madrid intends to expand cooperation with Tokyo as his country
needs more Japanese tourists and investment to boost its growth. Spain has also
been promoting technological innovation and is eager to closely work with Japan
in the area of science and technology, he said.
In a related move, Okada and Moratinos also discussed the possibility of
signing an FTA between Japan and the European Union, and improvements in the
Spanish business environment.
Okada urged the Spanish government to speed up the process of issuing work
permits and residence certificates for Japanese business people working in
Spain and Moratinos said Madrid will try to change the status quo, according to
the Japanese Foreign Ministry.
The Spanish leader is on his first trip to Japan following his visit to China.
He will meet with Japanese business leaders, have an audience with Emperor
Akihito and visit Kyoto before leaving Japan on Thursday evening, according to
the Japanese ministry.
==Kyodo
2010-09-01 23:42:15


Delete & Prev | Delete & Next