The Hainan FTP's actual use of foreign capital rose dramatically

Recently, the Ministry of Commerce of the People’s Republic of China held a press conference to release the "Fourteenth Five-Year Plan for the Utilization of Foreign Capital" and give an introduction to this year’s utilization of foreign capital status. Hainan was mentioned many times. In recent years, thanks to the comprehensive deepening of reform and opening up and the development of the Hainan Free Trade Port, Hainan has achieved gratifying results in the actual use of foreign capital, and this has become a highlight of the development of the Hainan FTP.

The actual use of foreign investment in Hainan:

1. The promulgation and implementation of the Hainan Free Trade Port Law of the People's Republic of China has further stabilized expectations and boosted the confidence of foreign investors.

2. The Hainan Free Trade Port Foreign Investment Access Negative List was published for the first time in 2020 with 27 access restrictions, the shortest in the country.

3. This year, the actual use of foreign investment in China's 21 pilot free trade zones and the Hainan FTP increased by 31.9% and 386% respectively year-on-year.

The 14th Five-Year Plan for the Development of Foreign Capital Utilization

The Ministry of Commerce has proposed three major initiatives in the 14th Five-Year Plan in order to attract foreign investment to boost the development of the Hainan FTP.

1. Further liberalize investment access and increase opening up in areas such as value-added telecommunications. Implement a "simple approval" investment system, implement investment facilitation measures focusing on process supervision, and gradually implement the market access commitment system.

2. Encourage multinational companies to set up international and regional headquarters in Hainan, and encourage foreign investment in the unique tourism, modern service, and high-tech industries of the Hainan Free Trade Port.

3. Guide foreign-invested enterprises to actively participate in investment cooperation between the Hainan Free Trade Port and the Guangdong-Hong Kong-Macao Greater Bay Area, and enhance the level of investment cooperation in education, medical care, modern agriculture, marine fishery, cultural tourism, sports, and other fields. Relying on international exchange platforms such as the Boao Forum for Asia, promote investment cooperation with the countries and regions of the Belt and Road Initiative.