Overseas businesses are welcome to invest in tourism in northwest China's Xinjiang Uygur Autonomous Region, according to a local updated regulation on tourism administration due to take effect on May 1.

Overseas investors will enjoy favorable policies for putting money into developing tourism resources and operating tourism projects in Xinjiang, said the regulation, an amendment of the regulation enacted in 1998.

The new rule also makes it clear that projects which threaten tourism resources, harm the ecological environment and natural beauty, or cause contamination, are forbidden.

Arrivals of domestic and overseas tourists in Xinjiang reached 10.25 million in 2003, a slight rise from a year ago, bringing in 9.2 billion yuan (1.1 billion US dollars) in turnover for the local tourism sector, including 43 million dollars in foreign exchange.

The Xinjiang tourism industry expects to reap a record 10 billion yuan (1.2 billion dollars) in business turnover for the whole of this year.