Further Stimulating the Vitality of Private Economy Development - Relevant officials from the National Development and Reform Commission answered questions from reporters regarding the "Opinions of the Central Committee of the Communist Party of China and the State Council on Promoting the Development and Growth of Private Economy" by private enterprises | economic development | responsible persons

Beijing, July 19th (Xinhua News Agency) - Further Stimulating the Vitality of Private Economy Development - A Response to Journalists' Questions by Officials from the National Development and Reform Commission on the Opinions of the Central Committee of the Communist Party of China and the State Council on Promoting the Development and Growth of Private Economy

Xinhua News Agency reporters Chen Weiwei and Yan Fujing

The Opinions of the Central Committee of the Communist Party of China and the State Council on Promoting the Development and Growth of the Private Economy were released on the 19th. What is the background for the issuance of opinions? What important tasks have been deployed? The reporter interviewed relevant officials from the National Development and Reform Commission on this matter.

Q: What is the background for the issuance of opinions?

Answer: For a long time, the private economy has played a positive role in stabilizing growth, promoting innovation, increasing employment, and improving people's livelihoods. It has become an inherent element of China's economic system and an important force in promoting sustained and healthy economic development. In terms of taxation, from 2012 to 2021, the proportion of private enterprises increased from 48% to 59.6%. In terms of employment, from 2012 to 2022, the proportion of regulated private industrial enterprises absorbing employment increased from 32.1% to 48.3%. In terms of quantity, from 2012 to 2022, the proportion of private enterprises increased from 79.4% to 93.3%. In foreign trade, private enterprises have become the largest foreign trade entity since 2019, accounting for 50.9% in 2022.

The proportion of private economy in China's economy has continued to increase, which has become a new force to promote Chinese path to modernization, an indispensable foundation for high-quality development, and an irreplaceable important force to promote China's comprehensive building into a socialist modernization power and achieving the second centennial goal. However, over a period of time, the development environment of the private economy has undergone some changes, and many private enterprises are facing some problems and difficulties. It is urgent to improve the institutional mechanisms for promoting the development and growth of the private economy in response to the new situation, boost the expected confidence of the private economy, and further stimulate the vitality of its development.

The Central Committee of the Communist Party of China and the State Council have always attached great importance to the development of the private economy. Since the 18th National Congress of the Communist Party of China, the Party Central Committee and the State Council have issued a series of major documents to continuously promote the development and growth of the private economy. Various aspects have also launched a series of policy measures around the implementation of the central spirit, achieving good results. The 20th National Congress of the Communist Party of China clearly proposed to "optimize the development environment of private enterprises, protect the property rights and interests of private enterprises and entrepreneurs in accordance with the law, and promote the development and growth of the private economy", which put forward new requirements for the work of the private economy.

We should grasp the spirit of the Central Committee, grasp the direction of development, implement practical measures, and promote the private economy to shoulder a greater mission, shoulder greater responsibilities, and play a greater role in the great process of Chinese path to modernization. We have reason to believe that the private economy will usher in a broader development stage and bright development prospects.

Q: What are the main tasks deployed in the opinion?

Answer: The opinions revolve around six aspects and deploy key tasks.

One is to continuously optimize the development environment of the private economy. Continuously breaking down market access barriers, clearing and standardizing the prerequisites and approval standards for administrative approval, licensing, filing and other government service matters. Fully implement the fair competition policy and system, strengthen antitrust enforcement to prevent the abuse of administrative power and eliminate restrictions on competition. Improve the social credit incentive and constraint mechanism, improve the credit repair mechanism after correcting dishonest behavior, and improve the government's integrity performance mechanism. Improve the market-oriented restructuring mechanism.

The second is to increase policy support for the private economy. Improve financing support policies and systems, and establish a market-oriented mechanism for sharing financing risks through multi-party participation. Improve the normalized prevention and clearance mechanism for outstanding debts, and increase the accountability and punishment of responsible persons in accordance with laws and regulations. Strengthen the protection of talent and employment needs, and strengthen the protection of the rights and interests of workers in flexible employment and new forms of employment. Improve the direct and fast access mechanism for supporting policies, and establish a "no apply, no enjoy" mechanism for supporting policies. Strengthen policy communication and expected guidance, and set a reasonable transition period according to the actual situation.

The third is to strengthen the legal guarantee for the development of private economy. Protect the property rights of private enterprises and entrepreneurs in accordance with the law, and further standardize mandatory measures related to property rights. Build a system and mechanism for preventing and governing corruption at the source of private enterprises. Continuously improve the intellectual property protection system and increase efforts to protect the original innovation of private small and medium-sized enterprises. Improve the regulatory and law enforcement system, and eliminate selective law enforcement. Establish a sound long-term supervision mechanism for enterprise related fees.

Fourthly, we will focus on promoting high-quality development of the private economy. Guide private enterprises to improve their governance structure and management system, and encourage eligible private enterprises to establish and improve modern enterprise systems with Chinese characteristics. Encourage private enterprises to continue increasing their investment in research and development, and accelerate the promotion of digital transformation and technological transformation. Encourage private enterprises to enhance their international competitiveness and strengthen brand building. Support private enterprises to participate in national major strategies, participate in promoting carbon peaking, carbon neutrality, and rural revitalization. Standardize and guide the healthy development of private capital in accordance with the law.

The fifth is to promote the healthy growth of private economic personnel. Cultivate and promote the entrepreneurial spirit, and strengthen the construction of the representative team of the private economy. Improve the education and training system for private entrepreneurs, and establish a sound system for mentoring and mentoring the younger generation of private entrepreneurs. Comprehensively building a pro Qing political business relationship, leaders and cadres at all levels should openly and sincerely engage and interact with private entrepreneurs, take the initiative, and serve at the forefront.

Sixth, we will continue to create a social atmosphere that cares about and promotes the development and growth of the private economy. Guide society to have a correct understanding of the significant contributions and important role of the private economy, firmly resist and promptly refute and clarify erroneous statements and practices that question the basic socialist economic system, negate and weaken the private economy. Cultivate a public opinion environment that respects innovation and entrepreneurship in the private economy, and strictly crack down on behaviors such as extortion using negative public opinion as a threat in accordance with the law. Support private enterprises to better fulfill their social responsibilities and showcase a good image.

Q: How to effectively implement the opinions after they are issued?

Answer: The National Development and Reform Commission will, in accordance with the requirements of the Party Central Committee and the State Council, work together with relevant departments to ensure implementation from four aspects.

One is to improve mechanisms and strengthen responsibilities. Improve the collaborative promotion mechanism for promoting the development of the private economy, and further strengthen the level of departmental collaboration and central local linkage. If necessary, further action plans can be formulated based on opinions, clarifying their respective division of labor and consolidating departmental responsibilities. Local governments should fully combine local conditions to formulate and refine specific implementation plans, determine work goals and schedule, and promote the implementation of various measures.

The second is to closely track and optimize supporting facilities. Strengthening the dynamic tracking of the implementation of documents, the National Development and Reform Commission will regularly conduct research on the implementation of opinions with the All China Federation of Industry and Commerce, listen to the opinions of local governments, industry associations, private enterprises, financial institutions, and other relevant units, discover and summarize problems in the process of continuously studying new situations, summarizing new experiences, and solving new problems, and timely propose follow-up supporting measures to improve policies, to prevent policy measures from deforming and deviating during implementation.

The third is to widely promote and interpret. Do a good job in interpreting and promoting documents, tell the stories of private enterprises and entrepreneurs, create an atmosphere of concern and support for the development of the private economy in the whole society, enhance the enthusiasm and initiative of private enterprises in seeking development, reform, and innovation, let the innovation source of the private economy fully flow, and let the creative vitality of the private economy fully burst out.

The fourth is timely research and scientific evaluation. Timely study the early signs, tendencies, and potential issues encountered in the development of the private economy, organize special research on major issues, commission relevant institutions to conduct third-party evaluations of policy implementation, and continuously optimize policy implementation methods based on the evaluation results.