Wednesday, 23 September 2015

Guoxin International proposes to launch up to US$2 billion fund for Christchurch rebuild

Mayor Lianne Dalziel has signed a Letter of Cooperation and Friendship on behalf of the Christchurch City Council, with Guoxin International, which could see a major injection of capital in to the city's rebuild projects.

The Chinese company is committing to raise a US$2 billion fund for investment opportunities in the city to assist in the post-earthquake rebuild and regeneration of Christchurch.

The Mayor says the Council is keen to develop relationships and connections that will attract quality economic investment into Christchurch and the agreement reached with Guoxin International today provides an ideal opportunity to do this.

"This occasion recognises the opportunity to enhance mutual understanding and explore possibilities for collaboration as the city regenerates and rebuilds. This is a very generous commitment from a very large and reputable Chinese company. I'm excited that our community will have the chance to work alongside this company as we shift our focus from recovery to regeneration," says Mayor Dalziel.

Guoxin International is China's largest tendering and procurement company with a focus on major government projects, particularly in infrastructure development. In the past 16 years since incorporation, the Guoxin Group has completed a total of NZ$750 billion in tendering and procurement projects. Guoxin International is the international business and investment arm of the Guoxin Group.

The company intends to establish a fund in New Zealand to explore a range of investment opportunities, with a major focus on the Christchurch rebuild programme, which will create significant opportunities for collaboration.

At the signing of the agreement, the Mayor says both parties expressed their willingness to work together.

"We are both committed to conducting the relationship on the principles of equality, mutual benefit and consultation, reflecting the sentiments behind the proverb "Na to rourou, me taku rourou ka ora ai te iwi" (with your basket and my basket the people will live)," she says.

Consul General Jin says the signing of the Letter of Cooperation and Friendship is a symbolic event.

"The fund Guoxin International is establishing will focus on the Christchurch rebuild programme and it reflects the friendship between our two countries and shows our willingness to help each other in difficult times. The fund also represents a further deepening in collaboration in financial sectors between China and New Zealand."

The Letter of Co-operation and Friendship is non-binding and does not impose any legal or financial obligations or liabilities on any of the parties and it also aligns with the Council's procurement policy.

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