MNI China Press Digest March 3: FDI Rules, Growth, REITs

Highlights from Chinese press reports on Friday:

• China will further reduce its negative list for foreign investment and relax restrictions on investment access for overseas firms as it seeks to improve conditions for foreign direct investment, Wang Wentao, Minister of Commerce said. Speaking at a press conference, he said greater efforts would be made to retain and attract high quality foreign investment. For trade, traditional markets such as the United States, should be stabilised, and firms will be encouraged to travel overseas to promote exports. Boosting domestic consumption will also be key, with policies designed to improve confidence and restore vitality, he said.
• More policies are needed to boost fertility and improve the workforce to ensure long term economic vitality, according to an editorial by Yicai.com. The paper said it is important to fully implement the three child policy, with more support needed for childbearing, including the issuance of childcare allowances and the strengthening of housing security support. To make better use of the existing stock of workers, China needs to strengthen the quality of basic education, and implement vocational skills training for workers at all stages of life.
• Chinese regulators expanded their pilot program of real estate investment trusts (REITs) to new energy and is expected to include water conservancy and new infrastructure projects soon, Securities Times reported on Friday. China Securities Regulatory Commission on Thursday approved two new energy REITs products whose underlying assets are wind power and photovoltaic power generation worth CNY10 billion. This move is a demonstration of how the scheme can play a leading role in revitalising relevant sectors, and provided a sample of assets that could be securitised, the newspaper said.