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China knows what it wants to invest in

(Xinhua)
Updated: 2007-05-16 22:42

The Chinese government will look kindly on outbound investment in four sectors -- overseas resources, infrastructure, research and development (R&D) and service industries, said Zhang Xiaoqiang, vice minister of the nation's top economic planning body on Wednesday.

"The government will offer preferential diplomatic, forex, tax, customs, credit and insurance policies for companies investing in these sectors," said the vice minister of the National Development and Reform Commission (NDRC).

He said investing in the four recommended sectors would help China solve economic bottlenecks, upgrade industrial structures, promote exports, train human resources and sharpen the country's competitive edge in international trade.

China's outward investment topped 16 billion U.S. dollars last year, up 32 percent on the previous year to rank 13th in the world, up from 17th in 2005.

Commission sources show Chinese companies are expanding their business scope from general trade, catering and processing industries to logistics, resource tapping, manufacturing and R&D sectors. Their businesses reach out to more than 160 countries and regions in the world.



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