BRUSSELS (Thomson Financial) - European Union internal markets commissioner
Charlie McCreevy called on China to end its "discriminatory" rules on foreign
trade and criticised Russia's new law on foreign direct investment, whilst also
saying Europe must "practise the openness we preach".
Referring to the financial services sector, McCreevy said "the list of
regulatory barriers is long", citing "discriminatory rules on the establishment
of foreign banks", limitations on business scope, barriers to foreign players
entering statutory insurance business and very high capital requirements.
He added such barriers are incompatible with China's commitments to the
World Trade Organisation , adding 80 percent of fake goods intercepted coming
into the EU are of Chinese origin.
McCreevy said the West must also be open to foreign investment and avoid
protectionist tendencies, adding it would be "an enormous mistake to discourage
investment from sovereign wealth funds in our economies".
He added "protectionist trends are not unique to the West" and criticised
the law Russia adopted last month hat limits access for foreign investors to
"strategic" sectors of the economy, including the oil and gas industries, and
imposing checks by economic and security officials.
"The list of such strategic activities goes well beyond the concept of
national security... it won't favour the foreign direct investment inflows that
Russia badly needs," McCreevy said.
frances.robinson@thomsonreuters.com
fr/ms1
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