China announces policies to lure foreign investors

PHOTO: Shanghai skyline – QANTAS

Are the Chinese removing layers of ‘red’ tape? China is offering 20 new measures friendly to foreign investors, removing business restrictions to encourage a more “fair, transparent and predictable” business environment.

China’s State Council released a guideline pledging to shorten negative lists and eliminate restrictions, opening up more sectors to foreign investors.

The Nation reports that all restrictions on the business scope of foreign banks, securities firms and fund management companies will be lifted, and equal market access will be given to new energy vehicles produced by foreign automakers, according to the document.

The new rules will lower the cost of cross-border spending and make it easier for foreigners to work in China. Foreign businesses will be encouraged to make equity investment in China.

China will also strengthen protection of foreign investors’ interests, fully implementing the Foreign Investment Law, the document said.

Authorities will establish and improve methods of accepting complaints from foreign businesses, improve intellectual property rights protection and strictly ban the forced transfer of technology.

SOURCE: The Nation