The Chinese government is attempting to make China more attractive to foreign investors and improve the business climate, as stated in a new government report.
With tax benefits and relaxed visa measures, the Chinese are encouraging foreign companies to establish research and development centres in the country.
China hopes to stimulate its weakening economy with these measures. The government claims that visa and residence permit applications will be made easier for employees of foreign companies. Additionally, fiscal support for entrepreneurs will be expanded, according to the statement.
The Chinese economy has been declining for some time. Last week, it was announced that China, the world’s second-largest economy, experienced its largest drop in exports in over three years in July. This has a direct impact on the tens of thousands of export-oriented companies in China, which are now operating at a much slower pace.
At the same time, domestic spending is also decreasing. The country is also grappling with high unemployment and an ageing population.