10% from all SOEs will give big boost to social security fund

AT A WORKING CONFERENCE of the State Council, China's Cabinet, on Wednesday, it was decided that 10 percent of the shares of domestic large-and medium-sized State-owned enterprises will be transferred to the social security fund. Beijing News comments:

State capital belongs to the people and should benefit all members of society. It is also the common practice of developed countries to supplement social security fund with State-controlled capital.

After the money is transferred, the SOEs will enjoy the rights and profits as financial investors, while the social security fund will be strengthened.