HAIKOU /China/, January 18. /TASS/. The volume of de facto used foreign direct investment in the southern Chinese province of Hainan reached $3.5 billion in 2021, up 16.2% year-on-year, Xinhua News Agency reported.

According to the article, the increase reflects the improvement of the business climate in the province and the promotion of the construction of a free trade port of Hainan. It is also noted that the authorities managed to stabilize the situation in the sphere of foreign trade, attraction of foreign investments, as well as to stimulate consumption last year.

On June 1, 2020, the Central Committee of the Chinese Communist Party and the State Council of China published a program for the creation of a free trade port in Hainan. The document provides for the establishment of a special customs zone on this tropical island. The PRC authorities plan to complete the construction of the free port on the territory of the province in 2025, by which time the island should be built a system of free trade and investment. By 2035, Hainan is expected to have free trade and investment, cross-border capital flows, entry and exit for people, and freight transportation.