China's service sector aims to be turning over US$400 billion
worth of business a year by 2010, according to proposals put
forward by the State Council.
The proposals, published on Tuesday, say reforms should be
deepened in the telecom, railway and civil aviation sectors, easier
market access provided for investors in these areas, competition
increased and non-state service enterprises fostered.
According to the proposals, by 2010 the service sector will
contribute 43 percent of China's gross domestic product. The
service sector will become dominant in some larger cities and will
outperform the national GDP growth rate.
By 2020, services will account for more than 50 percent of
China's GDP, the proposals say.
The proposals underline the need for further investment,
including private investment, and preferential policies in the
Banks will be encouraged to lend to service enterprises which
conform to state industrial policies, and aid extended to eligible
service enterprises so that they can raise money on the domestic
and overseas capital markets.
(Xinhua News Agency March 28, 2007)