The Chinese economy is improving, and Chinese private companies are aiming for high quality development
In recent years, China has encouraged and supported the growth of the non-public sector and private companies. Moreover, at present, with the improvement of the business environment, private companies are expected to give greater contributions and greater opportunities in the direction of a high-quality development.
The effort of China has certainly given excellent results. Private enterprises, indeed, contributed to more than half of China’s taxation, 60 percent of gross domestic product (GDP), 70 percent of technological innovation and new products, 80 percent of urban employment and 90 percent of new jobs.
With the improvement of the business environment, private enterprises are expected to make bigger contributions
Among the key factors contributing most to this success are private investments, which have become one of the bright spots of the Chinese economy in the face of downward pressure, with an increase of 3.3 percentage points more compared to overall growth in the last three quarters.
Moreover, in the first three quarters, private investment in manufacturing surged 9.5 percent year-on-year, which was 0.8 percentage points higher than the overall investment growth, and the investment structure of private companies listed on the Shanghai Stock Exchange continued to upgrade.
Many provinces saw more than a 10-percent growth of private investment from the previous year
In support of these data the fact that, in the last five years, the number of market entities has increased by almost 80%, with the number of private companies increased by 146%. The newly established medium-sized Chinese companies are represented by 90% by private companies.
More than 1,200 projects were introduced to private investors in the sectors including transportation, energy, ecology and environmental protection, with the total investment exceeding 2.5 trillion yuan. By the end of August, moreover, projects with private enterprises as leading or solo winning bidders reached 3,800, accounting for almost 47 percent of projects under the public-private partnership.
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