12 measures to stimulate foreign investment

Xiamen imposes 12 measures to stimulate foreign investment. [Photo/xmnn.cn]

Xiamen is determined to increase foreign investment, according to a policy recently issued by the Xiamen Municipal Bureau of Commerce.

Measures to Attract Foreign Investment in Xiamen is the first policy of its kind implemented by the coastal city.

The foreign investment policy contains 12 measures aimed at achieving four goals: increasing investment fields, promoting foreign capital growth, attracting talents, and optimizing the business climate.

Encourage mergers and acquisitions by qualified foreign companies

In recent years, many high-quality foreign companies have taken over local Xiamen enterprises, which has helped develop Xiamen's industries. For example, Nestle, a Swiss company, acquired the food company Xiamen Yinlu.

According to the policy, from 2018 to 2022, newly-built foreign-funded enterprises with an annual utilized foreign capital of $10 million and above will be awarded two percent of the annual utilized foreign capital, up to a maximum of 20 million yuan ($3.18 million).

Encourage local overseas listed enterprises to invest in Xiamen

Many enterprises based in Xiamen have been successfully listed overseas over the past few years, such as Meitu Inc, a mobile Internet company, and Qudian, a fintech firm.

The policy states that local overseas listed enterprises with at least a financing volume of 50 million yuan will be awarded 250,000 - 1.5 million yuan if they invest in Xiamen.

Attract talents

According to the newly-released policy, employees at Xiamen's foreign-funded enterprises with an annual utilized foreign capital of $10 million and above that invest in the city's key projects will enjoy the following benefits from 2018 to 2022.

Employees who pay an individual income tax of 50,000 yuan and above per year and have no Xiamen household registristration are allowed to purchase two commercial houses in Xiamen, not limited by the number of years of social security payments.

Employees who work in these enterprises for three years, have paid for pension funds, and will continue a labour contract with the enterprises will qualify for permanent residency in Xiamen.