On July 17, 2012, the National Development and Reform Commission (“NDRC”) issued the 12th Five Year Plan for Foreign Capital Utilization and Overseas Investment. The plan indicates that from 2011 to 2015, China will make the use of foreign loans more efficient, improve the quality of foreign investment, enlarge the scale of overseas investment and promote the coordinated development of foreign investment and outbound investment. Under the plan, foreign investors are encouraged to invest in China’s strategic emerging industries and producer service sector. Multi-national corporations are encouraged to establish regional headquarters, research and development centers, procurement centers and financial management centers in China. In addition, China will further open the banking, securities, insurance, telecommunications, gas, logistics, education, sports, medical, culture, tourism and family services markets to foreign investors. In terms of overseas investment, the plan supports PRC enterprises’ investment in overseas energy and mineral resources development projects, high and new technology and advanced-manufacturing projects. The government will improve its management system and reduce the approval procedures for overseas investment to create a favorable environment for Chinese enterprises to “go abroad”.
The full Chinese text of the plan is available here.