China's Zhejiang Province Meets 5-year Goal of Utilizing US$75 Billion in Foreign Capital Ahead of Schedule

- The province's accumulative use of foreign capital reached 500.35 billion yuan during the period commencing in early 2013 and ending September 2017, meeting the goal of utilizing 500 billion yuan in foreign capital within five years, doing so several months ahead of schedule. In early 2013, the provincial government set the goal of deploying 500 billion yuan in foreign capital between 2013 and 2017 in line with the key points underlined at the 18th Party Congress, to further implement the strategy of leveraging eight identified areas of strength and adopting eight related measures, to use foreign capital as a means to enhance efficiency of investments and to facilitate economic reform. Zhejiang province has, for years, continued to expand its use of foreign capital, increase direct investment from developed countries and optimize the infrastructure supporting deployment of foreign capital, enhancing the increasingly important role foreign capital plays in the province's economic development. The actual use of foreign capital reached US$78 billion between 2013 and September 2017, up 7.7% year-on-year. Direct investment from the EU accounted for 7.4% of the province's total foreign capital, compared with the previous 4.3%, while direct investment from Japan represented 3.2% of the province's total foreign capital, compared with the previous 2.9%. The provincial government widened usage of foreign capital in June 2017 in order to bring local businesses up to international standards. This included meeting compliance in terms of international laws, making it easier for foreign investors to operate, whilst still meeting the Chinese government policy in fair competition between China's domestic and foreign investors. The province is committed to further improving management of foreign capital investment, providing world-level service quality and making individuals, investors or entrepreneurs seeking investment opportunities in Zhejiang feel at home. The province's end goal is to create a high-end foreign capital cluster and maintain its leadership in terms of the use of foreign capital in China.