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Chinanews, Beijing, Sept 29 – In a recent report, the World Bank praises China for its foreign direct investment (FDI) introduction work. It says that China should further attract more FDI from abroad to help the country to achieve its goal of building a harmonious1 society.
Due to a relatively2 good investing environment, low wages and the rapid growth of domestic market, the FDI flowing into China has accounted for 25% of the total FDI in developing countries over the past decade. It is expected that between 2006 and 2010 250 billion US dollars of FDI will flow into developing countries, of which China will account for 30%, says the report issued on Friday by the World Bank titled “China's FDI Utilization3 Prospect4 and Strategic Research.” Although China has already created a relatively good investing environment, by taking some effective measures the country is able to make it become even better. These measures include simplifying approving procedures, streamlining government structures and improving government work efficiency, and carrying out financial reforms, the report says. In order to develop the service industry and the hi-tech sector5, China needs to further raise the educational level of its work force, devote more efforts to protecting intellectual property rights, improve the research environment by encouraging more enterprises to take part in research and innovation, and raise the general living environment in cities, the report concludes.
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