Chinas top economic planner has signed a memorandum with China Construction Bank to set up a fund investing in strategic emerging sectors. In addition to the national-level development fund, the two parties will also establish underlying funds to attract private capital. The target fund volume is expected to be about 300 billion yuan (46.85 billion U.S. dollars), according to a statement released by the National Development and Research Commission (NDRC).
The money will be invested in sectors like advanced information technology, high-end equipment, new materials, and new energy vehicles to support major projects and develop industrial clusters of strategic emerging sectors. China aims to lift the added value of strategic emerging sectors within its GDP to 15 percent in 2020 and nurture five new pillar sectors each with 10 trillion yuan in market scale.