Shanghai, Nov 4 (IANS) The Shanghai Disneyland project has been approved by the Chinese central government, authorities said Wednesday.

The disneyland is planned to come up in the Pudong new district of Shanghai, a Xinhua report said.

Disney President and CEO Robert Iger said that China is one of the most dynamic, exciting and important countries in the world, and this approval marks "a very significant milestone" for the Walt Disney Company in China's mainland.

The foreign investment department officials said that several big state-owned firms in Shanghai would be forming a joint venture with the Walt Disney Co. to fund the project.

The Shanghai municipal government and the Walt Disney Co. reached an agreement on building China's first Disneyland, Shanghai Mayor Han Zheng had said in January.

The multi-billion dollar project is expected to benefit industries, including property development, hotels, transport and entertainment, said Hou Zhigang, an associate professor with the Fudan University, Shanghai.