China vows to consolidate public sector while stimulating private economies

China vowed to make effective moves to stimulate the vitality of market entities. Measures include promoting reform in key areas, removing institutional barriers, and fostering a fairer and more dynamic market environment, according to a government work report submitted on Wednesday to the national legislature for deliberation.

Chinese Premier Li Qiang delivered the work report on behalf of the State Council at the opening meeting of the third session of the 14th National People's Congress in Beijing.

The report said that China will continue to deepen state-owned enterprise (SOE) reform, including refining the layout and adjusting structure of the state-owned sector, and moving faster to establish a system to assess SOE performance in fulfilling their strategic missions.

To spur the growth of the private sector, the Chinese government will actively implement policies and measures to support its development, effectively protect the lawful rights and interests of private enterprises and entrepreneurs, and encourage private enterprises to institute and refine modern corporate systems.

To ensure that overdue payments owed to enterprises are settled, the Chinese government will take stronger punitive actions against those who act in bad faith, and implement long term mechanisms to address this issue.

The government plans to engage in regular communication with enterprises to help resolve their practical difficulties and problems.

Furthermore, special initiatives will be launched to regulate enterprise-related law enforcement, with focus on tackling arbitrary charges, fines, inspections and seizures.

The report pledged to take resolute steps to prevent unauthorized cross-jurisdictional and profit-driven law enforcement, while conducting service-oriented administration and boosting the confidence of enterprises with satisfactory services.