law - Foreign NGO's can open offices in China

The Ministry of Civil Affairs has issued regulations that allow foreign NGO to set up offices in China, state media report today. They can set up foundation in China and open representative offices. From June 1 the ministry will accept registrations.
Unless directly working with a Chinese organization, foreign NGO's could only operate in a grey, illegal way.
"Basically, overseas foundations will be treated the same way domestic organizations are handled as long as they abide by our rules," said Li Bengong, director of the ministry's department of NGO Administration at a press conference sponsored by the State Council Information Office on Friday, according to the China Daily.
How that is going to work is still unclear, since domestic organization traditionally had to operate - at least technically - under the guidance of the Communist Party, mostly represented by de government department. In the new regulations the ministry now divides foundation up in publicly-funded and non-publicly funded. The latter are limited in their operation and cannot raise funds.