The World Bank says China's eastern city of Hangzhou, capital of Zhejiang Province, has the best investment environment in the country.

Five other eastern cities of Qingdao, Shaoxing, Suzhou, Xiamen and Yantai ranked from second to sixth, said a World Bank report released on Saturday at the Fourth China Investment Environment Forum in Hangzhou.

The report was jointly prepared by the World Bank and China's State Information Center after surveying 12,400 companies in 120 Chinese cities. The companies were asked to rate the investment environment, government efficiency and achievements in building a harmonious society.

Apart from the six "gold medal cities", 13 others including Beijing, Dalian, Guangzhou and Shanghai were judged "silver medal cities," said David Dollar, World Bank's Country Director for China and Mongolia.

Calculating all the indices of the cities, the World Bank pointed out in its report that east China's Jiangsu Province is the most desirable place for investors in China. It was followed by Shanghai, Zhejiang, Fujian and Guangdong, all of which are on the country's southeast coast.

The official said the World Bank's evaluation indices included a city's balance of macro economic management and political stability, consistent tax policies, foreign trade and investment levels, government administrative efficiency, quality of infrastructure and financial services and the city's efforts in building a harmonious, well-off society.

The World Bank published a similar report three years ago and Hangzhou also topped the list.