New platform set up for better management of State assets

China has decided to form a professional and market-oriented investment platform for better managing its State-owned assets, as the government seeks to further accelerate reforms and exercise its rights as majority shareholders in these firms, a top Finance Ministry official said.

Several solely State-owned asset investment and operation companies, under the aegis of the State Council, or the country's cabinet, will be established this year, to either invest in national strategically-important projects or purchase shares of profitable enterprises for higher returns, Xu Hongcai, assistant minister of finance, said at a news conference on Wednesday.

Instead of participating in the operation and administration of SOEs, the new companies will focus on managing the capital, facilitate adaptive capital flows and make effective investments, said the official.