China to Gradually Reduce Equity Limits for Stock Listing

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Sept. 9 – Limits on corporate equity stake proportion in investment will gradually be reduced to allow more foreign-invested enterprises to list in the country’s stock market, reports China Daily.

China’s Minister of Commerce, Chen Deming, spoke with China Daily during the 13th China International Fair for Investment and Trade held in Xiamen. He said the move aims at expanding cooperation fields between China and foreign countries by developing better investment avenues and foreign investment structures.

According to the Ministry of Commerce, FDI dipped by 20.4 percent year-on-year to US$48.4 billion in the first seven months this year. Chen said that China will promote the opening-up of the service industry and speed up the construction of economic and technological development zones, in a bid to enhance mutual investment and contribute a dynamic force to the shrinking global economy.

This should make China more attractive for foreign investors wanting to develop the high technology industry, promote outsourcing industry, and support investment in clean technology, energy saving and environmental protection industry.