All Chinese cities open to foreign-invested travel agencies: national authority

China's National Tourism Administration and the Ministry of Commerce have revised the Interim Provision on the Establishment of Foreign Holding and Wholly Foreign-owned Travel Agencies, relaxing the limits on foreign investment in travel agencies in China, according to report by Liberation Daily.

Changes have mainly been made in two items according to the revision released on the website of the National Tourism Administration. First, the originally stipulated registered capital for foreign-holding or wholly foreign-owned travel agencies of no less than four million yuan was lowered to "no less than 2.5 million yuan". Second, it was previously stipulated that eligible foreign-invested travel agencies are limited in Beijing, Shanghai, Guangzhou, Shenzhen and Xi'an. After the revision, the limit is removed.

According to the National Tourism Administration, as promised upon joining the World Trade Organization (WTO), China should revoke the limit on the location of foreign-invested travel agencies within six years after WTO accession. The revised provision is a move to fulfill the commitment ahead of schedule. Analyst said, lowered threshold for foreign travel agencies will promote foreign large travel agencies' development in China. On the other hand, national companies will constantly learn and make innovation in a new round of competition, thereby realizing an overall enhancement of China's tourism.

By People's Daily Online