It was decided at the executive meeting of the State Council held on January 14 that an Emerging Industry Venture Capital Investment Guidance Fund will be established to promote business starting, innovation and industrial upgrading.

It was proposed that the fund should be established to focus on supporting innovative enterprises at “toddling” startup stage, promoting integration of technologies with market, matching innovation programs with industries, incubating and cultivating emerging industries meeting the demand for future development, and propelling a high-level economic development.

It was learnt that China has been carrying out emerging industry venture capital investment programs since 2009 in the form of central finance participating in venture capital investment funds and making investment in early- and middle-stage and initial-stage innovative SMEs, aiming to share the risks for business starting and innovation, enhance the confidence of investors and promote the development of strategic emerging industries.

Source: Economic Daily, January 15, 2015