Hyung-Taik Lee of South Korea plays a backhand against Germany's Michael Berrer during the second round competition of men's singles at China Open ATP in Beijing, China, September 14, 2006. Hyung-Taik Lee won the match 4-6, 7-6, 7-6. (Xinhua Photo/Fei Maohua) (bmm/lhn)



Incentive for Local Governments

The central government revealed that it will financially support local governments that actively try to assist business openings and to attract investment from international companies. Some experts forecast that the incentive system can play a positive role in activating local government administration.

According to the financial ministry, the government plans to include the incentive system in “Reformed Measures for a Better Business Environment’ that will be announced at the end of this month. The incentive system originally aims to support local governments to activate assisting new business openings by transferring some central government rights on restrictions against business activities to local governments.

To activate it, the central government has already mapped out how to offer financial support. A government source said that it will assist designated local governments on the basis of their results of inducing international companies and newly open businesses.

As one of the incentives, the central government made a decision to convert the current real estate system, which negatively affects attracting companies to establish in local areas, to a long-term lease system that is less financial burden to open new businesses in local areas. It is forecast that the incentive system will play a positive role in enhancing pricing competitiveness by reducing production costs.

In addition, the government is currently considering converting present strict environmental regulation laws that do not allow any new business within the boundary of environmental reservation areas, into a bilateral survival system harmonizing development with environmental reservations, such as environmentally-friendly businesses.
/ 입력시간: 2006. 09.15. 08:57