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More Sectors Open to Private Investment in Hebei Province
North China's Hebei Province has allowed private funds to flow into more economic sectors to promote the development of private businesses.

According to the province's small- and medium-sized enterprises administration, the province encourages private businesses to invest in basic industries including transportation, water conservation, electric power, garbage and sewage treatment and infrastructure construction.

Private businesses are also welcomed to join the efforts to restructure, reform, transfer the property rights and regroup the assets of state-owned enterprises.

According to relevant regulations, private businesses are allowed to develop high-tech industries such as electronic information, bio-engineering, new materials, new energy resources and modern agriculture, and they are also permitted to step into sectors of tourism, education, information consultation and services in neighborhood communities.

Last year, the added value of Hebei's private businesses totaled 216.3 billion yuan (US$26.2 billion), accounting for 35.3 percent of the provincial GDP. Private businesses invested 33.6 billion yuan (US$4.06 billion) in 3,192 project in 2002, and the involved investment accounted for 16.42 percent of the province's total for last year.

A provincial government official said that efforts would be made to create a fair investment environment for private businesses and they would be allowed to enter economic sectors where foreign investment is allowed, provided it does not go against relevant state industrial policies.

(Xinhua News Agency June 1, 2003)

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