Beijing also will continue to invest heavily in transport facilities and finish construction of another 350 km of urban rail track by 2015, said Chen.
The conference and exhibition industry has been the largest winner during all Olympic Games, Chen said. Beijing built 400,000 square meters of conference and exhibition venues for the Olympics. These facilities will see surging demand due to the elevation of the city's image during the events.
According to Yang Kaizhong, Director of the Center of China Regional Economy Research at Peking University, investment in Beijing will keep growing at a high speed, as it will speed up the construction of satellite towns to facilitate its endeavor to form a city structure composed of a central city and satellite towns and townships. It will also expedite the construction of light rail transportation facilities to connect the city proper with the newly built satellite towns. In addition, it will develop the service industry in high-end industrial areas and new towns while focusing on hi-tech, financial and cultural industries. All these plans will ensure the high-speed growth of post-Olympic investments in the capital city.
Furthermore, Beijing is replacing its heavy industry with value-added automotive manufacturing, electronic and telecommunication industries.
Sports finance
A synergy between sports and financial service industries is an emerging trend in Beijing's economic development, Chen said. Sports franchises and businesses in many countries securitize their cash-flow assets to finance sustainable operations. Many U.S. sports venues and major British football clubs, for example, finance their operations by turning their basic assets, such as income from membership fees, sales of television rebroadcast rights, naming rights sales and advertising, into securities. Beijing has put naming rights for the Bird's Nest up for sale as part of the city's sports asset securitization, Chen concluded. |