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China to Vigorously Support Development of Medium & Small Enterprises
The development of China's medium and small enterprises will receive energetic government support. Experiment with the establishment of the medium and small enterprises services system organized by State Economic and Trade Commission has been launched in 10 cities.
News from the working meeting on pilot cities for medium and small enterprises construction says that the pilot project will be unfolded in 10 cities, namely Shanghai, Shenzhen, Chengdu, Harbin, Qingdao, Zhenjiang, Fushun, Wenzhou, Lanzhou and Chuzhou. It will study the key points and difficulties during the construction of the service system and accumulate experiences so as to promote the construction of medium and small enterprises service system.
According to statistics, medium and small enterprises account for over 98 percent of the total number of China's enterprises. The gross industrial output value, profits tax and export volume of the medium and small enterprises account for 60 percent, 40 percent and about 60 percent of the national total respectively. They provide around 75 percent of urban job opportunities. The key to supporting medium and small enterprises lies in the establishment of a related service system. However, the service system is still relatively lagging which is far from enough to meet the need for the development of such enterprises.
In order to improve the situation and to counter the financing and guaranteeing difficulties, the State Economic and Trade Commission issued the "Experimental Work Plan for the Construction of Medium and Small Enterprises Credit Guaranteeing System" last year, calling for the provision of credit guarantee for the development of medium and small enterprises. By the end of last year, 28 provinces, autonomous regions and municipalities had carried out this experimental work. Six province-level re-guarantee organs and more than 70 city credit guarantee organs had been set up, raising funds totaling nearly 4 billion yuan.
An official with the State Economic and Trade Commission pointed out that to carry out pilot work of service system construction is a new idea to promote the development of medium and small enterprises. The pilot cities should actively provide the medium and small enterprises with various services such as technology, information consultation, talents training, market development and credit guarantee, so as to create a favorable external environment for their healthy development.
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