BEIJING, Jan. 3 (Xinhua) -- China's foreign investment reporting regulation, which took effect on Jan. 1, is set to greatly reduce the burden for foreign investors and foreign-invested enterprises, authorities have said.

The regulation, jointly drafted by the Ministry of Commerce and the State Administration for Market Regulation, was established under the framework of the new foreign investment legal system, officials told the press Thursday.

The regulation requires information reporting from direct foreign investment in the Chinese mainland to set up companies and partnerships in banking, securities, insurance and other financial sectors.

Enterprises from other countries and regions or their representative offices engaged in production and business activities on the Chinese mainland, and foreign-invested enterprises that invest and establish enterprises on the Chinese mainland are also required to submit investment information.

"Submitting investment information is not a precondition for foreign investors or foreign-invested enterprises to carry out procedures such as enterprise registration, nor is it a newly established procedure for administrative approval," said the officials.

The system further reduces the burden for foreign investors, with the optimization of the foreign investment access management procedures and information reporting process, according to the officials.