The United States, Europe, Israel, India, and South Korea witnessed the rapid development of their innovative economies in the past decade, which in turn bolstered GDP growth. The experience of these countries shows that venture capital has been playing a critical role in the process. In China, venture capital also saw a substantial development in the past decade, and since 1999 innovative start-ups have attracted over 36 billion yuan from domestic and international investment institutions. As of July 2005, over 40 companies with venture capital have been listed on the SME board of the Shenzhen Stock Exchange, the GEM of the Hong Kong Exchange, and the NASDAQ, with a capitalization of over 20 billion yuan, which has promoted the development of China's innovative economy, especially the development of the high-tech sector.

However, China's venture capital industry has met great difficulties and challenges in its development. Most of the local venture capital institutions are facing poor policy environment, imperfect systems, and a low level of specialization, marketization and internationalization. International venture capital institutions are frustrated by China's policies in their operations in this emerging market. To overcome these difficulties and obstacles, policy makers, domestic and international venture capitalists, intermediaries, and experts must work together to improve China's policy environment, system and exit channels for venture capital through reform and innovation, and to start a new chapter in the development of China's venture capital industry.

The Forum will centre around such important topics as "China's Local Venture Capital: Its Reform and Way Out", "Venture Capital and Regional Development of Innovative Economy", "Policy and Legal Environment of China's Venture Capital: The Latest Developments and Applications", "Domestic and International LPs Facing China's Emerging Venture Capital Industry", "Globalization Strategy for Venture Capital and Opportunities for China", "Status Quo and Future of China's Private Equities", and "2006 Mega Trends of China's Venture Capital Industry". Through in-depth analysis and interactive exchanges, the Forum will allow participants to keep abreast of the process and trends of global venture capital developments, and to understand the direction of China's macro-investment policies. The Forum will also focus on hot industries and high-growth projects to support the sustainable development of growth enterprises and open the door for SMEs to international capital markets.

The China Venture Capital Forum is an annual gathering in China that is the largest of its type in scale, the highest in level, and the deepest in discussion. It brings together experts and practitioners from the government sector, domestic and international venture capital institutions, private equity professionals, world-renowned financial institutions, and intermediaries to share their valuable experiences and insights. As an important platform for growth enterprises and venture capitalists, the Forum will facilitate the integration of industry and capital, and create a favorable environment for enterprises to improve their financing efficiency. During the conference, top venture capitalists from home and abroad will give special lectures on how to attract venture capital and how to improve the professional skills of venture capital managers. Over 1,000 participants are expected to attend.

We strongly believe that this Forum will help set up a high-level, open, and efficient dialogue and cooperation mechanism, and boost the healthy development of China's venture capital industry. 
 

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