As Shanghai goes, China goes: finance hub seeks to be magnet city for foreign investors

Shanghai is ‘an important window for the world to observe China’, says city’s executive vice-mayor amid vow to improve and internationalise local business environment

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Shanghai set a gross domestic product growth target of around 5 per cent for 2025, unchanged from last year’s actual economic expansion. Photo: Reuters

Published: 8:39pm, 6 Mar 2025

Shanghai officials have pledged to turn China’s financial hub into a magnet city for international investors seeking business opportunities in the world’s second-largest economy, with fresh vows to improve the local business environment.

“Shanghai is at the forefront of China’s reform and opening up, as well as an important window for the world to observe China,” Executive Vice-Mayor Wu Wei said at a panel meeting held during the nation’s annual “two sessions” parliamentary meeting on Thursday.

“It is our mission to take the lead in creating a marketised, legalised and internationalised business environment.”

To further improve the business environment, Wu pointed to Shanghai’s latest action plan, published in February. It marked the eighth year such a plan has been released, and it outlined the government’s intentions to further improve in areas such as market access, financial services and market competition.

Shanghai set a gross domestic product growth target of around 5 per cent for 2025, unchanged from last year’s actual economic expansion.

The aspirational push comes at a time when the Chinese government has been scrambling to stabilise foreign investment against the backdrop of Washington’s stepped-up tariffs and tech curbs against China.

Shanghai, a major exporting city and one of the top choices for multinational firms to set up regional headquarters, has been taking it on the chin amid the US’ decoupling endeavours in recent years.