Investors say they are satisfied with the development of China (Shanghai) Pilot Free Trade Zone and are optimistic about its future, according to a report that evaluates the zone's one-year operation.
The report was issued by PWC ahead of the opening of the International Business Leaders Advisory Council (IBLAC) this weekend. PWC interviewed 125 enterprises in the FTZ, including 20 of the world's top 500 companies and some small and midsize firms. It also interviewed the US-China Chamber of Commerce and the EU Chamber of Commerce in China.
The report examined major events in government reform, investment administration, trade administration, financial system innovation, and legislative innovation. It said the FTZ's negative list is one of the most popular policies among investors. Sixty percent of the interviewed enterprises said they intend to set up their regional headquarters in the FTZ.
About 70 percent of the enterprises said their free trade accounts in the FTZ can reduce their costs and make foreign currency settlement much easier.
The report also listed problems and suggestions such as the government reform should cover the whole life cycle of a company instead of just the registration phase and financial reform should be strengthened to prevent risks.
"Appointing a third-party evaluation agency is already a reform itself," said Huang Jia, a principal partner of PWC Shanghai. "It shows the determination and sincerity of the government. We will continue to offer best service for the FTZ and the city of Shanghai."