China has officially started handing out "green card" residence permits to foreigners as a way to attract overseas talent, Xinhua news agency said.

After decades of strict control on the movement of foreigners, China has slowly simplified visa and residency procedures to cope with the growing numbers coming to China for tourism or study, or to invest in its booming economy.

"After a foreigner is granted a permanent residency permit, he will not be limited in his place of residence or his employment," Xinhua quoted a public security ministry spokesman as saying.

China's new permanent residency laws took effect on August 15. The permits, although called "permanent", will be valid for five years for children and 10 years for adults.

"This is a significant move by the Chinese government to adapt to economic globalisation, push forward reform and opening-up and the modernisation of socialism still further, and normalise the regulation of examination and approval of permanent residents in China," the spokesman said.

Those eligible included "high-level foreign personnel who hold posts in businesses that promote China's economic, scientific and technological development or social progress, foreign citizens who make relatively large direct investment in China, foreigners who have made outstanding contributions or are of special importance to China", Xinhua said.

China had approved residency for more than 3,000 foreigners, the spokesman said, but he did not say how many foreigners would be granted such permits each year.-Reuters