China to make more efforts to develop SMEs
(Xinhua)
Updated: 2004-06-05 09:19

China will adjust its policies to ensure the healthy and harmonious growth of its small and medium-sized enterprises (SMEs), said Wang Liming, the ombudsman of the SME office of the State Development and Reform Commission, on Thursday.

Wang made the remark at the Third Asia-Pacific Economic Cooperation Medium and Small Enterprises Technology Conference and Fair being held in Qingdao, East China's Shandong Province.

In the past decade, 70 percent of the global economic gain has come from the Asia-Pacific region since the Asia and Pacific Economic Cooperation (APEC) has been playing a vital role in coordinating the regional economic development.

"The gross economic volume of the APEC members has reached more than 60 percent of the global economic volume, to which the SMEs have contributed greatly," said Wang.

"In the Information Age, SMEs, the most active elements of the global market, have experienced changes in their operation and marketing mode. It calls for the government to adjust their policies to adapt to such changes," acknowledged Wang. "The Chinese government has made great efforts in this respect."

According to Wang, to tackle the financing difficulty which has bothered SMEs for a long time, China had founded over 1,100 guarantor institutions or companies by the end of 2003 to offer about 15 billion yuan (US$1.8 billion) bail for such enterprises.

"With these guarantee funds, China's SMEs obtained more than 70 billion yuan (US$8.4 billion) credit," said Wang. "And in the future, China will encourage SMEs to raise money by listing in the Chinese mainland and Hong Kong security market."

With the systematic reform demands of the State Council, Wang noted, 242 scientific research institutes have been transferred to offer special consulting or technological instruction for SMEs.

Moreover, Wang added, the Chinese government will further step up its legislation to ensure its SMEs develop under a healthy and legal environment.

"The government should play a crucial role in instructing China's SMEs to develop into an integral and professional economic body with various financing entities," said Wang.

Sponsored by the State Development and Reform Commission, the Third Asia-Pacific Economic Cooperation Medium and Small Enterprises Technology Conference and Fair opened on Wednesday and closed on Friday. Its aim is to increase cooperation and communication among SMEs in the Asia and Pacific Economic Cooperation.

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