In 2000, surrounded by foreigners and foreign reporters from all corners of the earth, it was in Switzerland that the President of China Wu Bangguo announced and promised foreign investors who are interested in bringing their money and technology into China will be given the best of opportunities and assistance. With that promise, China began opening doors to foreign investors. China has come a long way from where it was before. A lot of the economic success in China stems from a long ingrained foreign policy going as far back as the Qing Dynasty to create a strong, independent, powerful and united China.
Although the Chinese government remains less liberal than its counterparts, taking a look at how many companies are flocking to the country looking for investment opportunity, it is safe to conclude that Wu made good on his promises. For example, many China investment opportunities opened up because the government has expanded the scope and number of projects. These are eye opening policies because China has never been known to welcome intervention or help of any kind. However, over the years, the restrictions and red tapes had been cut down to the bare minimum, which makes China a true land of opportunity, standing shoulder to shoulder with the likes of India and Russia.
Although many people have negative images running through their heads because of the Tibetan issue, the quick response by the Chinese government to further reduce the death toll of approximately 80,000 people and allowing foreign aid agencies into the quake zones during the earthquake in Sichuan has win many kudos from many quarters.
Since 1820, China has accounted for 33% of the world’s GDP. However, barely a hundred years later, China accounted for only 9% of world’s GDP. The relative eclipse of China lies in the fact that the industrial revolution of the nineteenth century, which made Europe and America rich, has almost completely bypassed China.
According to many Western and Asian leaders, China will soon be the largest single economy on earth in the next millennia.According to The Economist, “China was not only the largest economy for much of recorded history, but until the 15th century, it also had the highest income per capita and was the technological leader in the world. The Financial Times noted that “China has been the largest economy in the world for 18 of the past 20 centuries”.
China has emphasized raising personal income and consumption and introducing new management systems to help increase productivity. The government has also focused on foreign trade as a major vehicle for economic growth.China now has the second largest economy in the world after the US with a GDP of over US$ 7 trillion (2007). In November 2007, China became the third largest in the world after the US and Japan with a nominal GDP of US$3.42 trillion (2007) when measured in exchange-rate terms.
By opening its doors on laws concerning foreign investments and creating opportunities for foreigners, the Chinese people have benefited tremendously over the years while businesses reap in results as a result of the reduced cost of manufacturing. So far, China has been meeting their targeted growth in economy and there is both domestic and foreign demand for more liberal China investment opportunities.
