China, Panama diplomatic drive puts business first

Panama's Vice President and Foreign Minister Isabel de Saint Malo (L) and Chinese Foreign Minister Wang Yi pose with their documents after signing a joint communique on establishing diplomatic relations, in Beijing, China on June 13, 2017. REUTERS/Greg Baker/Pool

PANAMA CITY (Reuters) - China and Panama sped up efforts in recent weeks to establish diplomatic ties, urged on by business leaders in both nations who for years advocated cutting the relationship with Taiwan in favour of Beijing, officials said.

Panama's embrace of China, which was months in the making and announced by President Juan Carlos Varela on Monday, was backed by Panama's business community, which has set its sights on attracting more investment from China.