The recently-issued rules for implementing the Law on Protecting Investment of Taiwan Compatriots is a major step towards encouraging Taiwan compatriots to invest in the mainland, said Shi Guangsheng, minister of Foreign Trade and Economic Cooperation (MOFTEC), December 15.

Shi said that economic exchanges and cooperation across the Taiwan Straits is vital to the long-term economic development in both Taiwan and the mainland.

He said that despite efforts of the Taiwan authorities to obstruct economic exchanges and cooperation, the detailed rules of the law will have a positive and long-term impact in the area by encouraging Taiwan businessmen to invest in the mainland.

Taiwan is the mainland's fifth major trade partner. Taiwan's investment in the mainland ranks fourth among overseas investors.

He explained that MOFTEC spent over three years consulting Taiwan businessmen on drafting the details on implementing the Law on Protecting Investment of Taiwan Compatriots, which was issued

in March, 1994.

Chen Yunlin, director of the Taiwan Affairs Office of the State Council, said that the law demonstrates the mainland's determination in protecting the business interests of Taiwan compatriots.

Chen said that by the end of October, Taiwan compatriots had invested in more than 43,000 projects in the mainland, involving a contractual value of 43.585 billion U.S. dollars. And cross-Straits trade volume was worth 155.6 billion U.S. dollars. (Xinhua)