MEDIA Development Authority of Singapore yesterday inked a deal with a Shanghai-based venture capital firm to establish a 480 million yuan (US$71 million) cross-border fund to boost digital media in the two countries.

The dual-currency fund, with 50 percent in Singapore dollars and 50 percent in yuan, will be managed in Singapore by Gobi Partners, aiming at helping Singaporean startups entering the Chinese market and domestic companies seeking international expansion.

"We are expecting to help domestic firms to solve a lack of funding to produce high quality content, and China has a huge growth potential in terms of total market value in the media sector," said Gobi partner Ku May Mok.

MDA Chairman Tan Chin Nam said: "We hope to see more cooperation between China and Singapore, as China has a vast market and plenty of talents while Singapore has advanced technology and international experience in the media sector."

Also, China Education Television, or CETV, will co-develop Chinese language teaching and learning programs and virtual communities with VEEV Interactive Pte, the Internet Protocol TV provider in Singapore. CETV can also have its documentaries distributed in Singapore through VEEV's local network.

"We'll continue to promote educational and cultural programs through new media channels as the country has called for the convergence of Internet, telecommunication network and broadcast network," said Chen Li, vice director of CETV.