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China is considering introducing a nonprofit mechanism into its money-squandering public institutions, traditionally funded by the government.

The Ministry of Science and Technology and Ministry of Finance invited more than 200 foreign and Chinese experts to discuss the management of nonprofit organizations in developed countries at an international symposium which started Thursday in Beijing.

Although China began its ambitious economic reform more than two decades ago, nonprofit organizations are still a new concept for many government officials and researchers.

Shen Zhongqi, a senior official with the Ministry of Science and Technology, said, "We are eager to explore a way to restructure our research institutions, particularly those that work for the public interest and social benefit rather than commercial profits."

In this field, he said, China could learn much from developed countries, in which much research for social benefit is funded and run by nonprofit organizations.

Statistics show that China has more than 1.3 million public institutions, creating over 28 million job opportunities. The government could no longer support their increasing expenditures. Meanwhile, some vitally important research, such as public health, was impeded because of a shortage of funds.

Shen said his ministry is lobbying to revise some laws in a bid to encourage the private sector and even individuals to invest their money into those proposed nonprofit organizations.

"Tax refunds might be a good stimulus to private contribution," Shen said.

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