Capital further opens up service sector to draw overseas investors

Limitations relaxed to welcome and encourage foreign investment in key areas outlined in official report

Beijing is further opening up by relaxing limitations on foreign investment in six service fields and promoting the use of foreign capital in key areas, local officials said.

The city has released a document on furthering its opening-up and promoting the use of foreign capital.

According to the policy, foreign investment limitations in six service sectors will be relaxed: science and technology, the internet and information, culture and education, finance, commerce and tourism, and healthcare.

The State Council approved Beijing's three-year comprehensive pilot project to expand service sector opening-up in May 2015. The project has since promoted the modernization and internationalization of the city's service sector, local officials said.

Beijing's service sector contributed more than 81 percent of its GDP last year. The city plans to build a modern industry system featuring creativity and service, officials said.

According to the latest policy released by the Beijing government, the city plans to attract more foreign-funded banks and insurance companies to develop their operations in Beijing.

The city government said it supports companies backed by overseas investment participating under franchise in Beijing's infrastructure construction projects; it has approved eligible foreign drugs undertaking clinical tests in Beijing, and foreign-funded companies have also received encouragement to establish organizations that provide care for the aged.

China's capital city now allows foreign investment in media production companies in specific areas of the city, as well as event and venue management operations in areas that are home to many culture and entertainment companies.

The city encourages foreign-funded companies to participate in developing and constructing commercial tourist destinations and to invest in tourism products and facilities.

The government also supports companies or organizations backed by overseas investment establishing schools for expats' children.

Beijing supports multinationals establishing regional headquarters in the city, and will provide policy and risk guidance. The city authorities also support the headquarters contributing to the construction of urban public service facilities and infrastructure.

The city encourages foreign-funded companies to conduct research and development and invest in advanced industries, such as new-generation information technology, energy conservation and environmental protection, new-energy smart automobiles, new materials and artificial intelligence.

The structure of using overseas capital will be improved, according to the government's document. The city will continue to improve its business environment.

According to the document, Beijing will streamline procedures for foreign-invested companies, strengthen intellectual property protection and improve complaint processes for such companies.

The city will help to solve problems reported by overseas investors and make efforts to create an open and fair market environment.

Statistics from the Beijing Commission of Commerce showed a further 1,309 foreign-invested companies were founded in Beijing last year, a 22 percent rise from 2016.

Foreign businesspeople invested $23.2 billion in the city's service sector in 2017, a year-on-year increase of 88.3 percent.

Beijing, as China's first comprehensive pilot city for the service industry's opening-up, has attracted advanced projects based on a series of opening-up policies in recent years, Beijing Business Today reported.

A joint venture in the aircraft maintenance sector is developing in Shunyi district, and several international cultural projects are underway.

songmengxing@chinadaily.com.cn

Beijing's Financial Street is home to a cluster of foreign-invested banks.[Photo provided to China Daily]

Business representatives prepare their exhibit for the World Robot Conference in Beijing. The city government encourages foreign investments to go toward advanced industries, including artificial intelligence.[Photo provided to China Daily]