China continues support for SOEs, private businesses

Premier Li Keqiang

BEIJING: China is ready to give continued, unswerving support for the reform and development of State-owned enterprises (SOEs) and private businesses, the state council’s executive meeting, chaired by Premier Li Keqiang, announced recently.

The meeting called for solid steps in implementing the three-year action plan for SOE reform, and to create a level-playing field for private firms.

SOEs need to make continued efforts to achieve higher quality and efficiency, and sharpen their core competitiveness so as to improve their role in underpinning the national economy, those at the meeting urged.

“We will continue to unswervingly consolidate and develop the public sector, and unswervingly encourage, support and guide the nonpublic sector.

“SOE reform needs to achieve higher quality and efficiency, help facilitate deeper cooperation between the industrial and supply chains and enhance SOEs’ core competitiveness, ” Li said.

Solid steps will be taken in implementing the three-year action plan for SOE reform.

The task of relieving SOEs of their obligation to undertake social programmes will be essentially completed this year, and their nonessential businesses will be spun off at a faster pace to help them better focus on growing their main business.

Greater efforts will be made in deepening mixed-ownership reform, strengthening the modern corporate structure and developing sound market-oriented operating mechanisms.

The meeting also underlined the importance of private businesses and spelled out key policies to facilitate growth of the private sector.

A level-playing field for private firms will be created to boost employment.

Market access will continue to be broadened. Power grid operators will accelerate spinning off competitive operations, such as equipment manufacturing.

Oil and gas infrastructure will be made equally accessible to all businesses regardless of ownership type.

“We must stabilise the growth of the private sector with all possible means. The private sector contributes over 90% of new jobs. It is remarkable for a country with 1.4 billion people to achieve fairly full employment, ” Li said.

Private companies will be supported in participating in the construction of major railway projects and the development and operation of passenger and freight stations.

Key national research infrastructure will be made more accessible to the private sector. Accreditation of national-level technology centers in private companies will be accelerated. Channels for private business employees to get professional qualifications will be unclogged.

Financing support for private businesses will be facilitated.

Local governments will be encouraged to establish risk-sharing mechanisms for loans made to micro, small and medium-sized companies. — China Daily

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3


Next In Business News

'Roaring Kitty' acquires more shares in GameStop
FBM KLCI to move in tight range next week
Bank Islam CEO: Details on 5-year post-restructuring plan to be revealed Wednesday
Tropicana sells 1.85 million Top Glove shares at a loss
CPO futures likely to trend higher next week
Asian LNG spot prices rise as China replenishes inventories
US stops short of branding Vietnam, Switzerland, Taiwan currency manipulators
Oil price down but secures weekly gain on recovery hopes
GLOBAL MARKETS-World stocks at new peaks on strong China, US data
Food for thought

Stories You'll Enjoy