Upgrades urged using float proceeds as key sectors targeted in overhaul
Mainland companies coming to market should be required to use more of their listing proceeds for technical restructuring, while the government should back 20 key national high-technology companies to foster proprietary technologies.
These are some of the recommendations made by the Ministry of Science and Technology to hasten the nation's restructuring efforts.
The suggestions, contained in a document promulgated last year but only reported by the Shanghai Securities News yesterday, were developed as part of a national conference convened last August by the Communist Party Central Committee and State Council to discuss technical upgrading.
According to the document, the government needs to do more to foster new and hi-tech capabilities, including electronic information, software development and the manufacture of electronic, new biological, medicine and materials products.
Moreover, key mainland industries should within five years aim to reach mid-1990s' international technical levels and product standards.
To do so, the country should encourage or establish 20 key experimental enterprises capable of utilising international technology and developing new proprietary technologies.
The document also calls for enterprises coming to market to use at least 70 per cent of their initial public offering proceeds to upgrade their technical operations.