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China's SMEs see stable recovery

Xinhua | Updated: 2021-05-06 15:29
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A small-business owner (left) learns about loan products in Taizhou, Zhejiang province, in April 2020. [Photo/CHINA NEWS SERVICE]

BEIJING -- The vitality of China's small and medium-sized enterprises (SMEs) improved in the first quarter of the year as the economy further recovered from the impact of COVID-19, per the latest industry data.

The Small and Medium Enterprises Development Index, based on a survey of 3,000 SMEs, increased 0.5 points to 87.5 in the first quarter and hit its highest level since the same period of last year, according to the China Association of Small and Medium Enterprises.

The index contains multiple sub-indexes to gauge the performances and expectations of SMEs. A reading above 100 reflects an upward trend in business while a reading below 100 indicates dented vitality.

The macroeconomy, financing, cost and labor force sub-indexes were all above 100 in the January-March period.

During the period, business confidence among SMEs was further restored, market expectations continued to improve, and cash strains were eased, said the association, citing China's pro-SME measures such as targeted monetary policies from the central bank that lowered financing pressures.

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