Chongqing- Recently, Southwest China’s Chongqing Municipality issued Measures to Support Private Enterprises’ Reform and Development. In total, the document has put forward 20 measures on five aspects aimed at promoting private enterprises’ reform and innovation, transformation and upgrading, and healthy development.

Private enterprises will be supported to compete on a level playing field. The measures include reducing restrictions on market access to key fields, implementing the fair and unified market regulation system, establishing credit repair mechanism and objection system, improving the Internet plus Regulation system, strengthening rigid constraints of the fair competition review system, and intensifying the reform on the market-based allocation of production factors to ensure fair distribution of resource elements.

A policy environment that can stimulate the vitality of private enterprises will be completed. The measures include encouraging private enterprises to participate in market competition, establishing a sound COVID-19 response policy system to minimize the impact of the pandemic, reducing tax rates and administrative fees and lowering utility fees and logistics costs for private enterprises, completing the system that banking agencies can serve the development of private enterprises, improving direct financing support systems for private enterprises, completing credit enhancement support systems for private enterprises, and optimizing financial agencies’ services for the development of private enterprises.

Private enterprises will be encouraged and guided to carry out reform and innovation. The measures include guiding private enterprises for further reform, encouraging qualified enterprises to accelerate their establishment of a modern enterprise system, supporting private enterprises to strengthen innovation, integrating technological resources for sharing by private enterprises, supporting private enterprises to attract high-level talent, motivating private enterprises to transform, upgrade, optimize and restructure for higher competitiveness, encouraging private enterprises to participate in SOEs reform and the reform of mixed ownership, fostering private enterprises by categories, unblocking market withdrawal channels to reduce private enterprises’ withdrawal costs, and stimulating private enterprises to take part in the major plans, projects, and works on the building of Chengdu-Chongqing Economic Circle.

Facilitation will be provided to boost the healthy development of private enterprises. The measures include innovating service models for private enterprises, establishing standardized and institutionalized government-enterprise communication channels, optimizing government good faith performance mechanisms, strengthening the construction of local credible government services, promoting private enterprises to develop in a healthy way and according to law, and improving the legal environment to protect enterprises without discrimination.

Organizational support for private enterprises will be strengthened. The measures include improving support mechanisms for private enterprises’ reform and development, strengthening the administrative coordination in supporting private enterprises’ reform and development, and presenting typical cases about the reform and development of Chongqing’s private enterprises and entrepreneurs.

Chongqing has attached great importance to private enterprises’ reform and development and issued a series of policies supporting private enterprises’ growth since 2017. Under the policy support, the value of Chongqing’s private sector increased by 1,403 billion yuan at a rate of 7.2%, accounting for 59.4% of the city’s GDP. The industry has played a key role in ensuring the steady growth of the city’s economy. This year, in response to the impact of COVID-19, Chongqing issued measures such as Chongqing’s Several Policies and Measures to Support Resumption of Work, Production, and Operation of Enterprises Detailed Rules and Regulations for Implementation and Policies and Measures to Further Boost Healthy Development of Market Entities, which have helped private enterprises overcome difficulties and shape a favorable environment for their high-quality development. In the first half this year, the value of Chongqing’s private sector has increased by 645.686 billion yuan at a rate of 1%, which is higher than Chongqing’s GDP growth of 0.2%.

To ensure high-quality development of the private economy, Chongqing will step up its effort to implement the policies, optimize the market environment, and guarantee the policies’ effect in promoting private enterprises’ reform and development.