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2008 Games to bring US$16b business
By Liu Jie (China Daily)
Updated: 2004-04-01 22:52

Construction and service projects related to the 2008 Beijing Olympic Games will provide as much as 136 billion yuan (US$16.39 billion) in business opportunities for domestic and foreign investors.

The Beijing Municipal Planning and Reform Commission Thursday said that 376 projects that involve infrastructure construction and renovation, Olympic gyms and stadiums, high technology industrialization, education and culture, modern manufacturing, tourism and environmental protection, will be presented at a market promotion conference on the Olympics economy.

The promotion is to be held April 18 to 19 in Beijing.

Some 22 key projects involving 55 billion yuan (US$6.63 billion) have already been prepared, said Ding Xiangyang, the commission's director.

Among the 22 key projects, the largest is a planned metro line construction, including the No 4, No 5, No 9 lines, and the first phase of No 10 line, with total construction reaching 103.54 kilometers.

According to the government, an investment company has been set up to collaborate with private investors on the projects' construction and operation.

"And the private investors may be the decision makers in the joint venture and enjoy the profits during the contractual period," said Ding.

Public bidding for a 500-bed comprehensive hospital, with the funds needed for buildings, infrastructure facilities and equipment estimated at 854.67 million yuan (US$102.97 million), is also to be put forward at the fair.

"It is the first time for the government to introduce private funding into the hospital sector," Ding said.

That is the result of medical system reform and huge demand on medical services during the 2008 Olympic Games.

According to Zhang Mao, Beijing's vice-mayor, tenders for the projects will be carried out on and open and transparent basis.

"Two sponsors -- Invest Beijing International and Beijing Engineering Consulting Corporation -- will conduct the promotion and project bidding in line with market principles," said Zhang.

So far, a group of domestic and foreign business delegations, enterprises and experts have registered to take part.

And senior managers and representatives from some Fortune 500 firms, including GE, Dell, Boeing, Nortel Networks, Wal-Mart and Kodak, will attend the fair.

 
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