State Council specifies priorities for further promoting private economy

A staff member checks testing data of a knife tower produced at Taizhou Eastern CNC Technology Co., Ltd. in Wenling, Taizhou, east China's Zhejiang Province, Feb. 29, 2024. [Xinhua/Weng Xinyang]

BEIJING -- China will step up its efforts to boost the development of the private sector, according to a State Council report Tuesday.

Entrusted by the State Council, Zheng Bei, deputy head of the National Development and Reform Commission, delivered a report on promoting the development of the private sector to the 10th Session of the Standing Committee of the 14th National People's Congress.

Since the 18th Communist Party of China National Congress in 2012, fruitful achievements have been made in promoting the development of the private economy, according to Zheng.

Data shows that from 2012 to 2023, the proportion of private enterprises in the country's total number of enterprises increased from 79.4 percent to 92.3 percent, while a total of 124 million individually owned businesses had been registered by the end of last year, up from about 40 million in 2012.

The report said that China's comprehensive national strength, deepened reforms, and sci-tech and industrial revolution have provided the foundation, impetus and opportunities for the growth of the private sector.

However, the private sector still faces challenges regarding market access, supply of services and business management, the report noted.

The report listed six priorities for further promoting the development of the private sector.

To optimize the environment for the development of the private economy, the report emphasized the need to promptly revise the detailed rules for fair competition review and expedite the establishment of a unified, standardized, coordinated and scientifically efficient credit repair system.

To increase credit support for private enterprises, the report said support should be provided for qualified private enterprises in their initial public offerings and refinancing, and more support for startups and seed-stage entrepreneurship.

The report also underscored the need to expedite the enactment of the law on promoting the development of the private economy.

The report called for efforts to enhance policy coordination, facilitate capacity building for private enterprises, and cultivate a favorable social environment conducive to the development of the private economy.

Zheng said the commission will introduce more practical measures and vigorously implement policies to promote the high-quality development of the private economy.