The US security agreement with Denmark and Greenland expands Washington’s role on the Arctic island without transferring ownership, raising hopes for more American investment and less stigma around doing business with the US. Denmark and Greenland say the pact preserves Danish sovereignty and Greenland’s right to self-determination.

The agreement bars non-NATO military bases and restricts adversaries’ investments in sensitive sectors, a State Department official said, excluding Chinese and Russian military deployments. President Donald Trump said the US would begin developing a larger military presence and described the pact as granting “permanent control over security, and all other needs” in Greenland.

Denmark and Greenland said they expect to sign the agreement on the sidelines of the UN General Assembly this week. Parliamentary approval is still required before it takes effect.