Chinese started an investment experiment in a single city

In the Chinese city of Wenzhou authorities are beginning to experiment. Residents of the city the first in the whole country got the right to invest the savings in foreign companies. But the list of these companies is low as described in a published statement by the Bureau of International Trade and Economic Cooperation of the city, residents of Wenzhou on a trial basis is allowed directly to invest their money abroad, that is, buying shares of foreign companies, Russia's Kommersant wrote. However, with severe restrictions. You can buy shares of companies only to those countries with which the People's Republic, there are diplomatic relations. Prohibited investments in financial companies and banks, metals and energy companies. In addition, you can not buy securities of companies engaged in the production of goods and services exports to China are banned. Finally, there are limitations in terms of investment. In a foreign asset can invest no more than 3 million dollars and total investment of all citizens in foreign assets can not exceed $ 200 million, however, even with these limitations, the experiment is an extraordinary step forward - yet the citizens of China's direct investment abroad were strictly forbidden, and the purchase of foreign currency in China was limited: in the year, a Chinese citizen can acquire not more than 50 thousand dollars of Wenzhou, which has a population reaches about 8 million people, located near Shanghai and has long been considered one of the commercially oriented and affluent cities in China. The city began to prosper in 1990, becoming a monopolist in the production of some goods (notably buttons). In 2009, per capita GDP reached almost 5 thousand dollars, which is 30% above the average for the entire country. According to the head of the Association of medium and small businesses Zhou Wenzhou Devenya, the turnover of private capital in the city is $ 150 billion should be reminded that in 2007 the Central Bank of China intends to launch a similar program to allow the Chinese private investors to acquire Hong Kong securities. However, the project quickly turned, citing unacceptably high risk to the investors themselves.