In order to boost the city's private economy, a collection of funds in Xiamen have been leveraging fiscal capital to support private businesses, targeting those that are technology-oriented and have high growth potential.

As of June this year, the Xiamen Industrial Investment Fund has invested into more than 300 private companies, comprising 98 percent of the city's total investments. These investments are not only substantial but also diverse, with the fund holding stakes in 80 different funds whose sub-funds collectively amount to nearly 1.6 trillion yuan ($222.8 million).

High-profile investment firms such as Sequoia China, CDH Investments, and Hillhouse Capital have partnered with the fund to offer investment and financing services to local enterprises.

Notable local investment vehicles include the Xiamen Tungsten Fund, the Kingdom Tianqin Fund, and the Jimei Xinglin Bay Fund area.

The Xiamen Tungsten Fund, valued at 50 billion yuan, has supported technology pioneers like Xiamen Hengkun New Materials Technology Co and Xiamen Yaxon Network Co.

The Kingdom Tianqin Fund was established by Xiamen Kingdom Industrial Investment Fund Management Co and Jixiang Investment. With a scale of 314 million yuan, it has facilitated the growth for numerous local enterprises.

The Jimei Xinglin Bay Fund area is home to 876 fund management companies, and manages a portfolio valued at 1.85 trillion yuan. It further drives up private sector growth and industrial transition.

Through these robust investment mechanisms, private enterprises in Xiamen have seen considerable progress in technological advancement and operational capacity. For example, Xiamen Dangs New-Materials Co, backed by Xiamen Industrial Investment Fund, achieved a significant breakthrough in China's flash-spun non-woven fabric industry after nearly 10,000 experiments.