Hu traveled from France where during his three-day state visit French companies won deals with China worth €16 billion ($22.8 billion).

China has been using its large foreign currency reserves to expand its economic presence in western Europe.

In Portugal, Hu is expected to preside over the signing of trade agreements and private sector investments. He is accompanied by a delegation of Chinese company executives.

Portugal — like France, where Hu spent three days — is rolling out the red carpet for the Chinese leader despite complaints from human rights groups that the government is turning a blind eye to rights abuses in China to secure lucrative contracts.

Portugal has one of the EU’s most fragile economies — a difficulty worsened by its high debt load. Its borrowing costs have surged as investors demand a higher return for risking their money on Portugal, but authorities are hoping cash-rich China will agree to start buying government bonds. Beijing has previously bought bonds in debt-laden Spain and has also pledged to help Greece out of its financial crisis.

Portuguese officials say they expect to sign bilateral trade agreements and deals on infrastructure and tourism projects during Hu’s visit.

China has also invested heavily in recent times in Greece and Italy and British Prime Minister David Cameron is due to visit Beijing next week.

China “places great importance on the development of Chinese-Portuguese relations and is ready to make a joint effort with the Portuguese to take bilateral relations to a higher level,” Hu said in a written statement given to reporters.

Hu was meeting Saturday with Portuguese President Anibal Cavaco Silva. On Sunday, he was due to hold talks with Prime Minister Jose Socrates.

The head of the Portuguese government’s Agency for Foreign Investment and Trade, Basilio Horta, said China was looking for profitable investments and political goodwill.

“On the one hand it’s about profitability and on the other it’s about political and economic influence,” Horta told reporters with reference to China’s economic interests. “But that’s not just about Portugal, it also does it with other European countries.” Authorities have denied a request from Amnesty International to hold a protest outside Lisbon’s presidential palace during Hu’s visit there.

The Lisbon Civil Government, which issues permits for public protests, said the demonstration would clash with a simultaneous one by Portuguese and Chinese businessmen that had already been approved, according to Portuguese state news agency Lusa.

But some two dozen people gathered near the venue where Hu was meeting his Portuguese counterpart, holding up photographs of what they said were the victims of human rights abuses in China.