China Studies National M&A Fund to Back Innovation

China national M&A fund planning is under study as authorities seek to sharpen the strategic direction of government-backed investment vehicles, the state planner said.

Wang Changlin, a vice head of the National Development and Reform Commission, said the proposed national mergers and acquisitions fund would support innovation and entrepreneurship and accelerate the development of so-called new quality productive forces.

He added that building a modern industrial system requires strengthening the real economy, adapting to structural change and continuously generating new sources of supply through innovation, while creating jobs in emerging industries.

The China national M&A fund would form part of broader efforts to improve coordination and effectiveness across public investment programmes.