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China plans more steps to aid smaller companies

By Cheng Yu and Ma Si | China Daily | Updated: 2018-11-06 09:14
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The headquarters of private e-commerce giant Alibaba Group in Hangzhou, capital of Zhejiang province. [Photo by Niu Jing/For China Daily]

Minister says national equity fund to get renewed impetus

 

The Ministry of Industry and Information Technology will increase the size of the total funds earmarked for the support of small and medium-sized enterprises, as part of its efforts to boost the development of private enterprises, a top official said.

Miao Wei, minister of industry and information technology, said more steps will be undertaken to promote the national equity fund which supports the country's SMEs, which account for 99 percent of the private companies.

"The ministry, along with others, including the Ministry of Finance, will beef up equity investments to early or seed-stage SMEs to drive their development," he said.

Four such funds amounting to 19.5 billion yuan ($2.8 billion) have so far been put into operation. A total of 5.72 billion yuan has been invested in companies across a variety of industries including high-end manufacturing, new energy and new materials, as well as biological medicine, Miao said.

The remarks came after President Xi Jinping, also general secretary of the Communist Party of China Central Committee, called at a recent symposium to unswervingly encourage, support and guide the development of the nonpublic sector, and encourage private enterprises to develop further.

Noting that innovation and competitiveness are two key enablers of SMEs, Miao encouraged SMEs to focus on one specific segment and give it a full play.

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