Earlier today, the OECD announced that it has issued a report on foreign investment in China. According to the OECD, China needs to take several steps to eliminate artificial barriers to foreign investment. These steps include opening up the M&A process to foreign investment and speeding up approvals for investment. The report notes particularly the lack of transparency in China. This lack of transparency hampers those attempting to conduct due diligence on a potential acquisition target. Further, a relaxation on foreign ownership restrictions could encourage additional foreign investment in China.
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