GMA visits China amid bribery scandal surrounding broadband contract

MANILA, Philippines (AP) - The Philippine president left for a two-day visit to China Tuesday to boost trade and political ties amid a high-profile bribery scandal that led to the suspension of a broadband contract with a Chinese company.

President Gloria Macapagal Arroyo departed for Shanghai, where she was scheduled to meet with Chinese President Hu Jintao, address the Shanghai Overseas Chamber of Commerce and attend the opening of the Special Olympics, local media reported.

The visit comes a day after the resignation of the Philippine elections chief, who was accused in Senate hearings of brokering a US$330 million (?235 million) contract with China's Zhong Xing Telecommunication Equipment (ZTE) Corp. and trying to bribe a Cabinet official and a Filipino businessman to clear the deal.

Benjamin Abalos denied the allegations against him, but the Supreme Court and later Arroyo have suspended the contract for a government broadband network.

Philippine officials and ZTE have said the scandal will not affect deepening trade ties between China and the Philippines.

Liang Wentao, economic and commercial counselor of the Chinese Embassy in Manila, told reporters earlier that corruption allegations connected to the deal "are pure domestic issues of the Philippines."

The contract was signed during Arroyo's visit to Beijing in April.

After China, Arroyo was scheduled to arrive in India for a two-day visit.