Article 95 The Macao Special Administrative Region may, through consultation and in accordance with law, maintain judicial relations with the judicial organs of other parts of the country, and they may render assistance to each other.

Article 96 With the assistance or authorization of the Central People's Government, the Macao Special Administrative Region may make appropriate arrangements with foreign states for reciprocal judicial assistance.

Section 5: Municipal Organizations

Article 97 Municipal organizations which are not organs of political power may be established in the Macao Special Administrative Region, to be authorized by the government of the Region to provide services in such fields as culture, recreation and environmental sanitation, and to be consulted by the government of the Region on the above-mentioned affairs.

Article 98 The powers and functions of the municipal organizations and the method for their formation shall be prescribed by law.

Section 6: Public Servants

Article 99 Public servants serving in all government departments of the Macao Special Administrative Region must be permanent residents of the Region, except for the public servants as prescribed by Article 100 and 101 of this Law and except for the professional and technical personnel and the primary public servants invited by the government of the Macao Special Administrative Region.

Article 100 Upon the establishment of the Macao Special Adminstrative Region, public servants serving in all previous Macao government departments, including the police, and the supporting members of the judiciary serving in previous Macao judicial organs may all remain in employment, continue service and retain their seniority with pay, allowances, benefits and conditions of service no less favourable than before.

The Government of the Macao Special Administrative Region shall pay to the above-mentioned public servants who retire after the establishment of the Macao Special Administrative Region, or to their dependants, all pensions and allowance due to them on terms no less favourable than before, and irrespective of their nationality or place of residence.

Article 101 The Government of the Macao Special Administrative Region may employ Portuguese and other foreign nationals previously serving in the public service in Macao, or currently holding permanent identity cards of the Region, to serve as public servants in government departments at all levels, except where otherwise provided for by this Law.

The Government of the Macao Special Administrative Region may also invite Portuguese and other foreign nationals to serve as advisers to government departments and to hold professional and technical posts in the government departments.

The above-mentioned persons shall be employed only in their individual capacities and shall be responsible to the government of the Macao Special Administrative Region.

Article 102 The appointment and promotion of public servants shall be on the basis of their qualifications, experience and ability. Macao's previous system of employment, discipline, promotion and normal rise in rank remain basically unchanged, but to be improved in line with the development of the Macao society.

Section 7: Swearing Allegiance

Article 103 The Chief Executive, principal officials, members of the Executive Council, members of the Legislative Council, judges and procurators in the Macao Special Administrative Region must uphold the Basic Law of the Macao Special Administrative Region of the People's Republic of China, must be devoted to their duties, must be honest in performing official duties, must serve the Macao Special Administrative Region wholeheartedly, and must take an oath in accordance with law.

Article 104 When assuming office, the Chief Executive, principal officials, President of the Legislative Council, President of the Court of Final Appeal and Procurator-General of the Macao Special Administrative Region must swear allegiance to the People's Republic of China.

Chapter V

Economy

Article 105 The Macao Special Administrative Region shall, in accordance with law, protect the right of individuals and legal persons to the acquisition, use, disposal and inheritance of property and their right to compensation for lawful deprivation of their property.

Such compensation shall correspond to the real value of the property concerned at the time and shall be freely convertible and paid without undue delay.

The ownership of enterprises and investments from outside the Region shall be protected by law.

Article 106 The Macao Special Administrative Region shall have independent finances.

The Macao Special Administrative Region shall use its financial revenues exclusively for its own purposes, and they shall not be handed over to the Central People's Government.

The Central People's Government shall not levy taxes in the Macao Special Administrative Region.

Article 107 The Macao Special Administrative Region shall follow the principle of keeping expenditure within the limits of revenues in drawing up its budget, and strive to achieve a fiscal balance, avoid deficits and keep the budget commensurate with the growth rate of its gross domestic product.

Article 108 The Macao Special Administrative Region shall practise an independent taxation system.

The Macao Special Administrative Region shall, taking the low tax policy previously pursued in Macao as reference, enact laws on its own concerning types of taxes, tax rates, tax reductions, allowances and exemptions, and other matters of taxation. The taxation system for monopolized businesses shall be otherwise prescribed by a law.

Article 109 The monetary and financial systems of the Macao Special Administrative Region shall be prescribed by law.

The Government of the Macao Special Administrative Region shall, on its own, formulate monetary and financial policies, safeguard the free operation of financial markets and all kinds of financial organs, and regulate and supervise them in accordance with law.

Article 110 The Macao Pataca, as the legal tender in the Macao Special Administrative Region, shall continue to circulate.

The authority to issue Macao currency shall be vested in the Government of the Macao Special Administrative Region. The issue of Macao currency must be backed by a 100 percent reserve fund. The system regarding the issue of Macao currency and the reserve fund system shall be prescribed by law.

The Government of the Macao Special Administrative Region may authorize designated banks to perform or continue to perform the function of its agents in the issuance of Macao currency.

Article 111 No foreign exchange control policies shall be applied in the Macao Special Administrative Region. The Macao Pataca shall be freely convertible.

The Government of the Macao Special Administrative Region shall safeguard the free flow of capital within, into and out of the Region.

Article 112 The Macao Special Administrative Region shall maintain the status of a free port and shall not impose any tariff unless otherwise prescribed by law.

Article 113 The Macao Special Administrative Region shall pursue the policy of free trade and safeguard the free movement of goods, intangible assets and capital.

Article 114 The Macao Special Administrative Region shall be a separate customs territory.

The Macao Special Administrative Region may, using the name "Macao, China", participate in relevant international organizations and international trade agreements (including preferential trade arrangements), such as the General Agreement on Tariffs and Trade and arrangements regarding international trade in textiles.

Export quotas, tariff preferences and other similar arrangements, which are obtained by the Macao Special Administrative Region, shall be enjoyed exclusively by the Region.

Article 115 The Macao Special Administrative Region may issue its own certificates of origin for products in accordance with prevailing rules of origin.

Article 116 The Macao Special Administrative Region shall, in accordance with law, protect the free operation of industrial and commercial enterprises and make policies on its own for the development of industry and commerce.

The Government of the Macao Special Administrative Region shall improve the economic environment and provide legal guarantees for promoting the development of industry and commerce and for encouraging investments, technological progress and the development of new industries and new markets.

Article 117 The Macao Special Administrative Region, on the basis of economic development, shall make labour policy and perfect labour law on its own.

The Macao Special Administrative Region shall establish social co-ordination organizations composed of representatives from the government, the employers' organizations and the employees' organizations to provide consultation for the making of labour law, social security system and economic plan.

Article 118 The Macao Special Administrative Region shall maintain and perfect Macao's previous systems of shipping management and shipping regulation, and make shipping policy on its own.

The Macao Special Administrative Region shall be authorized by the Central People's Government to maintain a shipping register and issue related certificates under its legislation, using the name "Macao, China."

With the exception of foreign warships, access for which requires the special permission of the Central People's Government, ships shall enjoy access to the ports of the Macao Special Administrative Region in accordance with the laws of the Region.

Private shipping businesses and shipping-related businesses and private terminals in the Macao Special Administrative Region may continue to operate freely.

Article 119 The Macao Special Administrative Region shall, on its own, make policies on tourism and recreation based on its overall interests.

Article 120 The Macao Special Administrative Region shall perform the protection of environment in accordance with law.

Article 121 The Macao Special Administrative Region shall, in accordance with law, recognize and protect legal leases of land granted or decided upon before the establishment of the Macao Special Administrative Region and extending beyond 19 December 1999, and all rights in relation to such leases.

The grant or renewal of land leases after the establishment of the Macao Special Administrative Region shall be dealt with in accordance with relevant land laws and policies of the Region.

Chapter VI

Cultural and Social Affairs

Article 122 The Government of the Macao Special Administrative Region shall, on its own, formulate policies on education, including policies regarding the educational system and its administration, the language of instruction, the allocation of funds, the examination system, the recognition of educational qualifications and the system of academic awards so as to promote educational development.

The Macao Special Administrative Region shall, in accordance with law, gradually institute a compulsory education system.

Community organizations and individuals may, in accordance with law, run educational undertakings of various kinds.

Article 123 The existing educational institutions of all kinds in Macao may remain in operation. All educational institutions in the Macao Special Administrative Region shall enjoy their autonomy and, in accordance with law, enjoy teaching and academic freedom. Schools run by religious organizations may continue to provide religious education, including courses in religion.

Educational institutions of all kinds may continue to recruit staff and use teaching materials from outside the Macao Special Administrative Region. Students shall enjoy freedom of choice of educational institutions and freedom to pursue their education outside the Macao Special Administrative Region.

Article 124 The Government of the Macao Special Administrative Region shall, on its own, formulate policies to improve medical and health services and to develop Western and traditional Chinese medicine. Community organizations and individuals may provide various medical and health services in accordance with law.

Article 125 The Government of the Macao Special Administrative Region shall, on its own, formulate policies on science and technology and protect by law achievements in scientific and technological research, patents, discoveries and inventions.

The Government of the Macao Special Administrative Region shall, on its own, decide on the scientific and technological standards and specifications applicable in Macao.

Article 126 The Government of the Macao Special Administrative Region shall, on its own, formulate policies on culture.

The Government of the Macao Special Administrative Region shall protect by law the achievements and the lawful rights and interests of authors in their literary and artistic creation.

The Government of the Macao Special Administrative Region shall protect by law scenic spots, historical sites and other historical relics.

Article 127 The Government of the Macao Special Administrative Region shall, on its own, formulate policies on sports. Non-governmental sports organizations may continue to exist and develop in accordance with law.

Article 128 The Government of the Macao Special Administrative Region shall, based on the principle of religious freedom, not interfere in the internal affairs of religious organizations or in the relations that religious organizations and believers in Macao maintain and develop with their counterparts outside Macao, or restrict religious activities which do not contravene the laws of the Region.

Religious organizations may, in accordance with law, run seminaries and other schools, hospitals and welfare institutions and to provide other social services.

Religious organizations shall, in accordance with law, enjoy the rights to acquire, use and dispose of property and the right to receive donations. Their previous property rights and interests shall be protected by law.

Article 129 The Government of the Macao Special Administrative Region shall, on its own, establish a system for the professions and, based on the principle of fairness and reasonableness, formulate provisions for assessing and issuing various professional qualifications and qualifications for professional practice in the various professions.

Persons with professional qualifications or qualifications for professional practice obtained prior to the establishment of the Macao Special Administrative Region may retain their previous qualifications in accordance with the relevant regulations of the Macao Special Administrative Region.

The Government of the Macao Special Administrative Region shall, in accordance with relevant regulations, recognize the professions and the professional organizations recognized prior to the establishment of the Region, and may, as required by social development and in consultation with the parties concerned, recognize new professions and professional organizations.

Article 130 On the basis of the previous social welfare system, the Government of the Macao Special Administrative Region shall, on its own, formulate policies on the development and improvement of the social welfare system in the light of the economic conditions and social needs.

Article 131 Local organizations providing social services in the Macao Special Administrative Region may, on their own, decide their forms of service, provided that the law is not contravened.

Article 132 The Government of the Macao Special Administrative Region shall, when necessary and possible, gradually improve the policy previously practised in Macao in respect of subventions for non-governmental organizations in fields such as education, science, technology, culture, art, sports, recreation, medicine and health, social welfare and social work.

Article 133 The relationship between nongovernmental organizations in fields such as education, science, technology, culture, art, sports, recreation, the professions, medicine and health, labour, social welfare and social work as well as religious organizations in the Macao Special Administrative Region and their counterparts in other parts of the country shall be based on the principles of non-subordination, non-interference and mutual respect.

Article 134 Non-governmental organizations in fields such as education, science, technology, culture, art, sports, recreation, the professions, medicine and health, labour, social welfare and social work as well as religious organizations in the Macao Special Administrative Region may maintain and develop relations with their counterparts in foreign countries and regions and with relevant international organizations. They may, as required, use the name "Macao, China" in the relevant activities.

Chapter VII

External Affairs

Article 135 Representatives of the Government of the Macao Special Administrative Region may, as members of delegations of the Government of the People's Republic of China, participate in negotiations at the diplomatic level directly affecting the Region conducted by the Central People's Government.

Article 136 The Macao Special Administrative Region may on its own, using the name "Macao, China," maintain and develop relations and conclude and implement agreements with foreign states and regions and relevant international organizations in the appropriate fields, including the economic, trade, financial and monetary, shipping, communications, tourism, cultural, science, technology, and sports fields.