16. China understands and supports Philippine Government's efforts in fighting against illicit drugs. Realizing that the problem of illicit drugs poses severe threats to the health, safety and welfare of the peoples of both countries, both sides agree to enhance exchange of intelligence, know-how and technology sharing on fighting against drug crimes, preventive education and rehabilitation facilities.
17. To further strengthen the efforts to fight against illicit drugs, both sides agree to establish operation mechanism for joint investigation on special cases and intelligence collection purposes. The Philippines thanks China for its offer of assistance in personnel training and donation of drug detection, seizure, and testing equipment to aid in the fight against illicit drugs.
18. Both sides commit to enhance cooperation between their respective Coast Guards, to address maritime emergency incidents, as well as humanitarian and environmental concerns in the South China Sea, such as safety of lives and property at sea and the protection and preservation of the marine environment, in accordance with universally recognized principles of international law including the 1982 UNCLOS.
19. Both sides agree to continue discussions with a view to signing a bilateral agreement on Transfer of Sentenced Persons.
20. Both sides agree that bilateral defense and military cooperation are important components of bilateral relations. To enhance mutual trust, both sides agree to implement the China-Philippines MOU on Defense Cooperation, through exchanges and cooperation in areas of humanitarian assistance and disaster alleviation and peacekeeping operations.
21. Both sides agree that bilateral economic cooperation remains strong, but has room for growth. Both sides commit to enhance economic relations in the priority sectors of the two countries by leveraging their complementarity and continuously promoting trade, investment and economic cooperation, through the activities identified under the MOU on Strengthening Bilateral Trade, Investment and Economic Cooperation.
22. Both sides acknowledge the mutual economic and social benefits gained from the Five Year Development Program for Trade and Economic Cooperation (2011-2016), and announced their commitment to its renewal through the Memorandum of Understanding on the Formulation of the Development Program for Economic Cooperation.
23. Both sides identify poverty alleviation as their shared aspiration, and agree to exchange best practices and cooperate in projects in this regard.
24. Both sides express willingness to jointly undertake practical cooperation including infrastructure investment, infrastructure project construction and industrial production capacity. Both sides agree that infrastructure cooperation which are jointly undertaken will be subject to proper procurement process, transparency and in compliance with relevant domestic laws and regulations and international practices.
25. Both sides will develop financial cooperation including in areas such as concessional loans, preferential buyer's credit, bonds issuance, loans, investments, securities, and others as mutually agreed upon including special loans for development. Both sides will strengthen cooperation in the Asian Infrastructure Investment Bank (AIIB) and other multilateral and regional development banks.
26. Both sides express willingness to expand the local currency settlement of bilateral trade and investment, and to coordinate to actively promote the regional financial cooperation which includes the multilateralization of Chiang Mai Initiative (CMIM) and bilateral swap arrangements (BSA). China welcomes the interest of Bangko Sentral ng Pilipinas (BSP) in participating in the Chinese Interbank Bond Market.
27. Both sides commit to expand cooperation in agriculture, particularly in such areas as (i) agricultural technology and infrastructure;(ii) agricultural trade;(iii) irrigation;(iv) climate change adaption and mitigation and (v) compliance with animal and plant sanitary standards.
28. Both sides agree to strengthen cooperation on animal and plant inspection and quarantine. The Philippines welcomes China's announcement to restore permits of relevant Philippine enterprises that export bananas and pineapples to China, and continue to import vapor heat treated mangoes which were packed in facilities that comply with standards set by China.
29. Both sides will undertake joint efforts to promote cooperation in the fields of high quality hybrid rice seeds, agriculture infrastructure, agricultural machinery, further develop the role of the Sino-Phil Center for Agricultural Technology, and other mutually agreed upon areas. China commits support for the Philippines' effort to improve its food production capacity, training of agricultural technical professionals, and agricultural and fisheries industry development and capacity building, subject to domestic laws.
30. China expresses readiness to support Philippine requests for assistance under the framework of the ASEAN Plus Three Emergency Rice Reserve (APTERR) in times of emergency.
