Hong Kong Secretary for Economic Development and Labor Stephen Ip Monday signed an Air Services Agreement on behalf of the government of the Hong Kong Special Administrative Region (HKSAR) with the Government of the Republic of Iceland in Reykjavik, according to government sources.

Ip said the Air Service Agreement is the first formal bilateralagreement between the HKSAR and Iceland. It provided a legal framework for the establishment of air links between Hong Kong andIceland. "It opens a new chapter in the development of aviation relations between the two places," he said at the signing ceremony.

"To further develop Hong Kong as a preferred transportation andlogistics hub, we will continue to liberalize our air services regime and negotiate more new air services agreements with our aviation partners," he added.

The Air Services Agreement with Iceland is Hong Kong's 53rd AirServices Agreement with a foreign aviation partner.

Ip said since the opening of the Hong Kong International Airport in 1998, the HKSAR government has implemented a policy of progressive liberalization of our air services regime to enhance Hong Kong's position as an international and regional aviation center. Hong Kong now enjoys an extensive air services network, with direct flights to more than 140 destinations worldwide.

Source: Xinhua