China, Spain ink $7.5b in contracts,wine included

China and Spain signed a series of governmental agreements and economic contracts Wednesday during Chinese Vice Premier Li Keqiang's three-day visit to Spain aimed at strengthening financial support to the country, media outlets reported.

According to Britain's Guardian newspaper, Spain is facing a serious financial crisis with 4 million people unemployed and with borrowing costs near eurozone highs.

China is purchasing $7.5 billion worth of products by signing the agreements and contracts with Spain. The products include meat, olive oil, wine and ham, the Xinhua News Agency reported Wednesday.

"A series of economic agreements shows that China has actively adopted measures to support Spain in getting it out of the crisis," Hu Ronghua, a professor of economics at Fudan University, told the Global Times.

Showing his confidence in the battered economy, Li vowed Wednesday to purchase more Spanish debt.

He told Spanish Finance Minister Elena Salgado on Tuesday that "We believe Spain, with its government and people working together, will surely overcome current economic and fiscal difficulties."

Spain is the first stop on Li's European trip, which will include visits to Germany and Britain.

Last month, Chinese Vice Premier Wang Qishan said at the Third EU-China High Level Economic and Trade Dialogue that China supports the EU's measures to address the eurozone debt crisis.

"With consideration of economic benefits, China is taking the chance to buy debt from European countries under the current financial situation," Hu said.

She also mentioned that China makes pragmatic cooperation with Spain, aiming to enhance the developments of diplomacy and politics by financially supporting European countries.

Beat Lenherr, chief global strategist at LGT Capital Management, told CNBC Television that the move by China is important for Europe, not just for Spain.

China has also moved to help other European nations facing the financial crunch.

Chinese President Hu Jintao said China is willing to "take concrete measures" to help Portugal deal with its financial crisis, after his meeting with Prime Minister Jose Socrates in November, Reuters reported.

Also, China offered to buy Greek government bonds during Premier Wen Jiabao's two-day visit to Greece in October.