Deloitte predicts the private education sector will reach a
market size of RMB640bn (US$102bn) by 2015. This growth is likely a
response to rising income levels, which fosters the demand for
high-quality private education. In 2013, China relaxed its
decades-long one-child policy, allowing couples to have two
children if one of the parents is an only child, which greatly
bolsters the potential demand for private education like pre-school
education and after-school tutoring. Up to now, education has been
a valuable hot land of investment, but it is not easy for private
investors to enter into the market, particularly foreign investors,
because of legislation that treats education as a form of public
welfare. But recent legislative developments look set to change
this. Although no new national laws or regulations have yet been
promulgated, recently-released draft legislation and newly
promulgated local regulations suggest that the dawn of private
educational institutions
