The aims of establishing this Foundation are to support and promote policy consultation and academic research in China and to render service to the social and economic development of China and to keep the government decision-making procedures operated on a scientific and democratic basis.

The Foundation was formally registered in December 1997. Mr. Xue Muqiao and Mr. Ma Hong,  founders of the Development Research Center of the State Council and initiators of the Foundation, were appointedhonorary presidents of it. Mr. Wang Mengkui, president of the Development Research Center of the State Council and professor of Beijing University, was appointed president of the Foundation.

The Foundation also invited Mr. Fang Weizhong, Mr. Liu Guoguang and other social celebrities who took great interest in and actively participated in the work of the Foundation to be advisors. At present there are 15 vice presidents and 56 members in the Foundation.

The Foundation has an academic committee and an assets management committee, which are respectively in charge of academic research work and the management and supervision of assets.

The Foundation has five departments in charge of the daily work which are the General Office, the Personnel Department, the Department of Assets Management, the Department of Project Research and the Liaison Department.

The fund of the Foundation mainly comes from the donations of enterprises, institutions and individuals both from home and abroad. The fund is utilized in two ways: to support project research, publication of research results and academic exchange activities, and to reward the researchers who have made outstanding contributions or achieved excellent results in policy consultation work and academic researches.

During the past two years, the Foundation has given financial support to many activities such as the research of some important projects, the evaluation work of the Third China Development Research Prize, the publication of excellent research results, and the translation of noted foreign economic works. The Foundation has also established the " Scholarship of China Development Research" which offers opportunities for the excellent doctorate candidates and postgraduates at colleges to apply theory to practice and to participate in policy study.

In March 2000, under the leadership of the Development Research Center of the State Council, the Foundation successfully sponsored "China Development Forum", during which famous entrepreneurs, experts and scholars, as well as representatives of renowned international organizations invited both from home and abroad, sat together with the Chinese officials and discussed major issues concerning China's reform and development.

From now on, the Foundation will make further efforts to coordinate the work between the economic circle and the policy research and consultation institutions so that the decision-making procedures of China will be operated on a more scientific and democratic basis.