China's National Development and Reform Commission and Ministry of Commerce released the 2019 edition of the negative list for market access on Nov 22. The list lays out sectors that market players have no or limited access to, for both domestic and overseas players.
The 2019 list is 13 percent shorter than last year, taking out 20 items from the 2018 edition. It further loosened up entry in sectors like social welfare groups, elderly-care institutions, and foreign-related match-making facilities.
The updated list also gives one final verdict on market access across all of China.
"The list effectively eliminates all regional and industrial barriers. So for those looking to enter China and operate cross-regionally, or in franchises, this is clearly a positive signal," Guo Liyan, researcher with Chinese Academy of Macroeconomic Research, told CGTN.
The 2019 list also clarifies which government departments are responsible for each different item on the list. "Businesses used to joke that there is one so-called 'relevant department' that oversees everything, but it's impossible to find. Now it's clear who is responsible," Ren Qiming, associate professor with the China University of Political Science and Law, said.
He said the update means government departments are put to closer scrutiny, adding: "This is a lot of pressure for them, no more kicking the ball around."
Experts also say the negative list is good for positive market expectations.
"Investors used to worry that regulations changed too quickly for them to act. So it's important to have a long-term, stable expectation as shown in how the list continues from year to year," Ren said.
And the negative list is the latest among a host of other business-friendly measures China has implemented in a bid to optimize business environment.
"In the end, it's all about giving individual market players more power and drive to grow. We have seen a combination of measures to better business environments. It's all part of China's economic system that will give players more vitality," Guo said.
