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Chongqing Listed Among China's Six Pilot Cities for Business Environment Innovation

By JAMES ALEXANDERICHONGQING|Sep 14,2021

Chongqing– Chongqing has been designated among six cities in a pilot program for business environment innovation following an executive meeting of the State Council on September 8. Chongqing will receive more support from the central government in deepening pilot reform and making greater efforts to benefit enterprises and people.

Improving the business environment is important to unleash market entities’ vitality and social creativity and promote high-quality development. Along with Chongqing, five other cities with large numbers of market players — Beijing, Shanghai, Hangzhou, Guangzhou, and Shenzhen — have been included in the pilot list.

According to the decision of the meeting, the six pilot cities will focus on the concerns of market entities and the people, benchmark advanced international standards, and further deepen reform to streamline administration and delegate power, improve regulation, and upgrade services.

Develop a unified open market system

Specifically, the innovation pilot will center on six aspects, including further removing regional segmentation and local protection and promoting the building of a unified, open, and orderly competitive market system.

Efforts will be made to remove unreasonable restrictions on enterprises’ trans-regional operation and hidden barriers to non-local enterprises in such fields as government procurement and promote trans-regional mutual recognition and verification of seven types of electronic licenses for passenger and cargo transport.

Explore admission standards for business

The pilot cities will facilitate the entry and exit of market entities. Physical and electronic business licenses will be issued simultaneously to enable enterprises to handle affairs online. Efforts will be made to streamline bank account opening procedures, shorten the account-opening time, and promote the integration of multiple annual reports on market supervision, social security, taxation, etc.

In addition,  admission criteria adapted to the development of new business forms and new models will be explored. After accepting a bankruptcy case, a bankruptcy administrator is allowed to inquire about the information of a bankrupt enterprise held by relevant authorities in accordance with the law and does not have to go through the procedures of unsealing when disposing of a sealed property.

Enhance construction convenience

Investment and construction will be made more convenient. Before land supply, government departments should carry out a packaging assessment of geological disasters, water and soil conservation, and so on, and intensify their sense of responsibility.

After the land acquisition, enterprises can start construction without repeated demonstration. For issuing construction permits of municipal access works such as water, electricity, and heating, notification-commitment management, and online parallel handling shall be implemented.

Increase the level of opening-up

They will promote the verification of related documents with ports of some important trading partners, simplify the commercial registration procedures of Hong Kong and Macao investors, and support the bonded refueling for ships on international voyages.

Innovate and improve supervision

A punitive compensation system shall be implemented in food, drugs, vaccines, safety, and other fields related to the life and health of the people.

Efforts will be made to improve the long-term mechanism for curbing arbitrary charges, fines, and apportionment imposed on enterprises, correct monopoly operations, compulsory services, and other behaviors of intermediary agencies, and eliminate the differentiated treatment to enterprises in terms of qualification acquisition, bidding, rights, and interests protection, to maintain fair competition.

Optimize enterprise-related services

By optimizing the enterprise-related services, they will establish a compensation and relief mechanism for damages to the legitimate interests of enterprises caused by policy changes and planning adjustments and improve the unified registration system of movable property and rights guarantee.

At the same time, efforts will be sped up to break information silos, expand the scope of system connectivity and data sharing among government departments and local governments, change the phenomenon of market entities submitting materials repeatedly at multiple departments, and facilitate more matters to be handled online and at one time.

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