China to deepen reforms across key service industries

China will deepen reforms across key service industries, including finance, telecommunications, healthcare, culture and tourism to unlock the potential of service trade and attract more global capital, according to a growth plan released by the Ministry of Commerce on Friday.

The plan calls for the orderly expansion of financial institutions' business scope, strengthened financial support for technological innovation and the growth of small and medium-sized enterprises, and improved efficiency and facilitation of capital flows under the capital and financial accounts of the balance of payments, said the ministry in an online notice.

This policy also supports multinational companies with investments or registrations in the local pilot areas to conduct centralized cross-border fund operations in renminbi. In addition, the plan deepens the pilot program for Qualified Foreign Limited Partner (QFLP), facilitating foreign investment in China's private equity and venture capital markets.

The government will encourage the innovation and development of new forms of offshore international trade. It will promote the growth of green finance and transition finance, while strengthening international cooperation in the field of green finance.

The ministry said that China will support the opening-up of telecommunications services and related digital industries. The government aims to expand the scope of value-added telecom services to foreign investment, enhance the openness in the software and information service industry and accelerate the industrial application of artificial intelligence.

To promote interconnectivity and improve efficiency in transportation services, the plan also calls for strengthening international and regional cooperation, accelerating the infrastructure integration in information, vehicles, documentation and verification systems.

China's annual trade in services exceeded $1 trillion for the first time in 2024, demonstrating significant potential for further growth, according to statistics released by the ministry.