The Chinese central government has unveiled plans to launch a 300 billion yuan (approx. USD$46.84 billion) fund that will focus on investment in strategic emerging industries.
Lin Nianxiu (林念修), vice-chair of the National Development and Reform Commission (NDRC), and Wang Zuji (王祖继), head of the China Construction Bank, recently signed the “Strategic Memorandum of Cooperation in Relation to the Joint Launch and Establishment of a Strategic Emerging Industry Development Fund” (关于共同发起设立战略性新兴产业发展基金的战略合作备忘录) according to an official statement from NDRC.
NDRC and CCB will establish a strategic cooperative mechanism with the goal of supporting the development and strengthening of strategic emerging industries, and jointly launching a state-level strategic emerging industry development fund.
The two parties will also use the establishment of subsidiary funds and other methods to attract social capital, with a projected fund scope of approximately 300 billion yuan.
The fund will focus on investment in “new generation information technology, high-end equipment, new materials, biotechnology, new energy vehicles, new energy, environmental protection and digital innovation.”
NDRC said that the fund will also support major projects in strategic emerging industries, vigorously develop a cohort of strategic emerging industries, establishing a “new pillar” for the industrial system.