Skip to comments.Mistakes allowed in FTZ trials: government think tank (China)
Posted on 10/30/2013 8:22:01 PM PDT by TexGrill
The China (Shanghai) Pilot Free Trade Zone (FTZ) should be allowed to make mistakes as it carries out experimental policies, said Long Guoqiang, a senior researcher with a Chinese government think tank, on Wednesday.
The Shanghai FTZ paves the way for "upgrading China's economy," a concept championed by Premier Li Keqiang, said Long of the State Council's Development Research Center. Long asked for tolerance and patience for the FTZ, a month-old testing bed for reforms.
The zone will open up broader space in markets for foreign investors, including in the service and financial sectors, and covers approximately 29 square kilometers in four areas of Shanghai, China's financial hub. It got the nod from the central government in July, and was formally unveiled on Sept. 29.
"We should not be afraid of making mistakes in the FTZ. When problems occur, we solve them and then improve our policies. That is the reason why we need pilot zones," said Long.
The Shanghai FTZ has adopted a "negative list" approach identifying industries with bans or restrictions on foreign investment. The Shanghai municipal government published a list of over 1,000 banned and restricted areas, which include gambling, pornography, weaponry, media, investment banks and insurance.
Some investors complained that the list is too long. However, Long noted that since China is new to the negative list approach, it is natural to have a relatively long list.
(Excerpt) Read more at english.people.com.cn ...
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