Draft law promotes further opening-up

Riding on momentum of 40 years of reform and opening-up, China is on way to establishing a new system of opening-up featuring institutional and systemic openness, as reflected in a draft law on foreign investment.

And once the National People's Congress approves the draft foreign investment law, a new round of institutional dividends will be released.

At present, China's legal system for foreign investment mainly consists of the Law on Chinese-Foreign Joint Ventures, the Law on Wholly Foreign-Owned Enterprises and the Law on Chinese-Foreign Cooperative Joint Ventures. But since certain sections and articles of these laws cannot deal with the changing global realities or settle disputes, China has drafted a comprehensive foreign investment law to replace them.