China will encourage domestic companies’ overseas investment in natural resources
01/07/2010 Source: Xinhua
China will encourage both FDI utilizing and domestic companies’ overseas investment, said Zhang Xiaoqiang, vice minister of China’s National Development and Reform Commission (NDRC).
Zhang noted that the opening up of monopolized industries in the services sector will be accelerated, and both domestic and foreign enterprises will be treated equally. Meanwhile, domestic companies’ foreign investment in oil, natural gas and mineral resources will be encouraged.
On January 5, Zhang’s speech at a conference was published on the website of the NDRC. He pointed out that China should focus on both direct and indirect use of foreign investment, and guide the foreign investment to engage in the restructuring and transformation of domestic enterprises in various forms.
Zhang said that the government will continue to support qualified enterprises’ listing abroad. Foreign VC and PE investment in China is also encouraged.
Domestic companies should explore the deep processing of resource products on the basis of developing primary products. China’s outbound investment should follow a direction close to requirements of the upgrading of domestic industrial structure, said Zhang, adding that more funds should be put into overseas hi-tech industries and advanced manufacturing industry.
