[photopress:lowcost_housing.jpg,full,alignright]China’s legislature says it will enact laws to protect private property. Legislature spokesman Jiang Enzhu said, ‘It is important that we protect the assets of those people who, through hard work, acquire property legally.’
On the matter of taxing foreign companies, he said, ‘It is no longer consistent for us to charge foreign and domestic companies different tax rates.’The property law, China’s first since the Communist Party took power in 1949, enforces a 2004 constitutional amendment that allows individuals to own property.
Li Chengrui, a former head of China’s statistics bureau, attacked the proposed law as legalising the misappropriation of state assets and endorsing a widening wealth gap.
The government is strengthening laws to protect investments and open more options for the country’s RMB33.5 trillion(US$4.3 trillion) in deposits and US$1 trillion in foreign currency reserves.
The National Development and Reform Commission (NDRC) emphasized China needs to fully implement its property rules and increase its focus on the construction of low-cost housing. The state planning agency added that China will boost financial support for small- and medium-sized enterprises and innovative firms.
Sources: Forex TV Global News and Business Day