China's State Council, or the cabinet, has approved the National Social Security Fund to launch investment overseas and relevant departments are setting detailed implementation measures, sources said Thursday.

Xiang Huaicheng, president of the board of directors of the National Social Security Fund, said developing overseas investment for the national social security fund will help divert risks at the domestic capital market, share the fruits of the rapid worldwide economic development and increase the fund's returns.

He said preparations for overseas expansion were underway.

The fund was established in 2000, and by the end of 2003, its general assets had reached 132.5 billion yuan (US$16 billion) and its accumulative net profits exceeded 6.5 billion yuan (US$783 million).
 
(Xinhua News Agency March 26, 2004)