Pretoria — The South African government is observing Venezuela's initiatives to improve the lives and social conditions of the marginalised masses in that country in order to learn from them.

Speaking at a State Banquet, held in honour of President Hugo Chavez at the Presidential Guesthouse in Pretoria on Tuesday, President Thabo Mbeki said the two countries would draw on each other's strengths and weaknesses.

South Africa can learn Venezuela's challenges to help eradicate poverty and underdevelopment and improve the social conditions of all people.

"The people of our country share the same vision with the people of Venezuela; a vision of a world based on freedom, equality, justice and prosperity for all," President Mbeki told the guests, which included ministers of various portfolios from both countries as well as former President of Haiti Jean Bertrand Aristide.

President Chavez is in the country on his firs official state visit to South Africa.

"South Africa attaches great importance to the friendship and cooperation which have developed between our peoples, positively affecting our relations at bilateral and multilateral levels," said President Mbeki.

Describing the agreements that the two countries have, he said they would further strengthen relations in the political, socio-economic and cultural areas.

The two countries earlier on Tuesday signed various agreements on energy, upstream oil and gas and offshore oilfields in Venezuela.

On Wednesday, the Venezuelan delegation is expected to visit the Mahlasedi-Masana Primary School in Mamelodi which the Embassy is supporting.