A proposal for an Olympic Industrial Investment Fund to be launched next year has been put forward by a local government think tank to raise $6-billion (U.S.) for the construction of projects related to the 2008 Summer Olympic Games.
Plans include the construction of 32 local venue projects for the Games.
The city aims to spend a total of $34-billion (U.S.) on the Games, but a lack of funding has caused enterprises and economists to actively lobby the government for wider funding channels through the capital market.
He Xiaofeng, leader of the think tank for designing financial projects for the Games said “the idea of setting up a special investment fund targeting Olympic-related projects may be adopted next year if relative policy obstacles can be cleared”.
The planned investment fund could be launched both in Beijing and Hong Kong for investors at home and overseas, said He. The fund can be first initiated by state-owned enterprises, which will be open to individual investors. A dozen enterprises, including some overseas companies, have shown their interest in developing the new financing products together with He’s team.
Meanwhile, China is taking pains to make sure its 2008 venues are innovative, environmentally sound and can be put to good use by Beijing’s citizenry long after athletes go home, said Huang Yan, deputy director of the Beijing Planning Commission and the city’s point woman with the Beijing’s Olympic organizing committee. She said, “we have to be concerned about long-term urban growth. We have to consider after the Games. How can we use this area?”
The final plan will likely be an amalgam of several plans and must be ready by next July, said Huang. Construction begins next year, though crews have already begun clearing some 1-1/2 miles of land.
Huang said planners, along with the Beijing organizing committee, are concerned that the Olympic park’s designs dovetail not only with the needs of the IOC and the 2008 Games but also with the future of Beijing.
