Long-term commitment: Secretary for Commerce & Economic Development Rita Lau and Finland's Minister for Foreign Trade & Development Paavo Vayrynen sign an investment promotion and protection pact in Helsinki.

Secretary for Commerce & Economic Development Rita Lau has signed an investment promotion and protection agreement with Finland - Hong Kong's 16th such pact.

The two governments will provide for equal treatment of investors, compensation if investments are expropriated, and free transfer abroad of investments and returns. It also provides for the settlement of investment disputes in accordance with internationally accepted rules.

Signing the deal with Finland's Minister for Foreign Trade & Development Paavo Vayrynen in Helsinki today, Mrs Lau said the pact will further boost Hong Kong's good bilateral trade and economic ties with the country.

"The agreement will bring mutual benefits to Hong Kong and Finland. It gives additional assurance to Finland investors their investments in Hong Kong are adequately protected. It also enables Hong Kong business to enjoy similar protection in respect of their investment in Finland," Mrs Lau said.

The pact is effective for 15 years in the first instance and will remain in force indefinitely unless terminated by either party.