Local governments provide funds, support to private enterprises

Since the beginning of this year, local governments in China have stepped up efforts to solve the problems met by private enterprises, promoting the high-quality and healthy development of the country's private sector in all respects.

Qihe county of Dezhou, Shandong province, for example, has taken a number of measures to help local private enterprises address their development challenges.

The Qihe government said it has organized several investment and business matching sessions and has launched an online platform for bank-enterprise matchmaking. In addition, it has issued various types of loans to small and medium-sized enterprises, totaling over 150 million yuan ($21.07 million) and established professional teams to provide financial counseling for the enterprises.

The government also brought more convenience to the local private enterprises. The enterprises can now directly enjoy some preferential policies without the need to make any application in advance. A special area has been set up within government buildings to provide all the services that an enterprise may need, greatly saving time for them.

In addition, taking into account the enterprises' characteristics, the county has developed personalized plans for them to increase innovation in the systems, technologies and management. It has so far nurtured 62 new innovation-oriented SMEs and 96 new high-tech SMEs, said the government.

Currently, there are 44,816 entities in Qihe's private sector; of which, more than 100 have been awarded various honorary titles, the government added.

Industrial analysts said that such efforts are part of greater efforts from the country in supporting private companies, especially SMEs, to stimulate their vitality for greater economic growth.

Wang Peng, a senior researcher at the Beijing Academy of Social Sciences, said in an earlier interview that amid a global economic slowdown, supporting private economy is of great importance.

"The Chinese economy will continue gathering momentum if the private sector, including smaller businesses, remains sound, given that many SMEs are being increasingly recognized for their role as leaders in new concepts and new business models," he said.