City unveils policies to boost investment

Huang Yixuan
The new measures cover key sectors of Shanghai's economy and are aimed at boosting economic development.
Huang Yixuan

Shanghai on Tuesday launched a series of policies and measures to boost investment and support the city's economic development.

After surging 10.3 percent in 2020, fixed asset investment in Shanghai last year is expected to post an increase of about 8 percent year on year.

The overall positive investment situation is bolstering the steady and sound development of the economy and society, said Hua Yuan, deputy secretary general of the Shanghai government and director of the Shanghai Development and Reform Commission.

In 2022, investment should encouraged to maintain stable and healthy development of the economy, which calls for targeted policies and measures to expand investment, Hua said.

The new policy document includes 24 specific policies and measures in five major areas: accelerating the establishment of major projects, enhancing financial support, galvanizing private investment, developing special areas and optimizing the investment environment.

In terms of establishing major projects, for example, it says no effort should be spared to meet the annual investment targets for major projects.

Preliminary plans for major construction projects in Shanghai in 2022 would see an investment of more than 200 billion yuan (US$31.5 billion).

Detailed monthly investment plans will be made to ensure compliance with the schedule and give full play to the leading role of major projects in expanding investment.

The city may also carry forward infrastructure investment moderately ahead of schedule, planning to accelerate the expansion of the Yangshan Port, the Dalu Canal and the Shanghai Pudong International Airport.

Meanwhile, the city will encourage more private investment to help promote urban digital transformation, foster emerging industries, boost green and low-carbon energy development, and strengthen full life cycle land management.

Preferential credit policies will be implemented for integrated circuits and artificial intelligence.

Market-oriented financing guarantee institutions will be encouraged to provide financing guarantee services for enterprises producing integrated circuit equipment and materials, and subsidies will be given to eligible guarantee fees, the policy document says.

It also stressed Shanghai will push ahead the implementation plan for the development of the new-energy automobile industry,implement policies on the NEV fuel cell industry, and promote the planning and construction of hydrogen fueling stations throughout Shanghai.

Strategic areas in the city will be further developed, including the Pudong New Area for socialist modernization, the Lingang Special Area of the China (Shanghai) Pilot Free Trade Zone, the demonstration area for high-level integrated development of the Yangtze River Delta, and the Hongqiao International Open Hub.

To optimize the environment for investment, government authorities will pay more visits to enterprises to to hear concerns, and cut red tape and streamline the approval process of foreign investment projects.

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