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The Chinese State Development Bank granted November 9 a big loan of RMB 358 million to Amoke Co. Ltd., a Sino-foreign joint venture in Zhuhai, Guangdong Province, according to sources from Zhuhai. This shows the great extent to which China has opened up its finance sector and that foreign-funded enterprises financially begin to enjoy national treatment in China.

Zhuhai Amoke Co. Ltd. is a joint chemical fiber producer by British & America Petroleum Company, China Chemical Fiber Parent Company and Zhuhai Fuhua Group. Zhuhai Amoke Co. Ltd. is to invest a total of US$ 400 million on the venture with a planned annual production capacity of 350,0000 tons of PTA , which has started construction on August 2000 and is to be completed and put into operation in 2002.

Zhuhai Amoke's construction had once been brought to a standstill due to financial difficulties. After studying into this project's market prospect, the State Development Bank has decided on the loan grant to Zhuhai Amoke Co. Ltd. as the first instance to help a Sino-foreign joint venture with a big loan in China.

Sources from the State Development Bank say that the RMB 358 million loan to Zhuhai Amoke Co. Ltd is only a start of the whole work in helping Sino-foreign joint ventures in China and that more Sino-foreign joint ventures will have like help from banks in China.

(People's Daily 11/12/2000)