China’s Top Economic Planners Support Joint Development of State, Private Sectors to Expand Market

China’s Top Economic Planners Support Joint Development of State, Private Sectors to Expand Market

Tang Shihua

Date: Tue, 03/13/2018 - 20:43 / source:Yicai
China’s Top Economic Planners Support Joint Development of State, Private Sectors to Expand Market
China’s Top Economic Planners Support Joint Development of State, Private Sectors to Expand Market

(Yicai Global) March 13 -- Chairman of one of China’s top economic bodies played down suggestions that the state in China is getting richer while living standards of its people are falling behind, a common public saying in the country, emphasizing that the country supports mutual development of both state and private sectors to continuously expand the market, which would benefit the people.

The public saying is not correct given logical relationship and practical results on the ground, said Xiao Yaqing, director of China’s state-owned assets supervision and administration commission, or SASAC, under the State Council, China’s cabinet.

Xiao was answering questions from the media during China’s “Two Sessions,” the annual meetings of the national legislature, the National People’s Congress, and the top political advisory body, the National Committee of the Chinese People’s Political Consultative Conference, CPPCC.

Xiao said that while state-owned enterprises have been continuously growing and developing through the reform and opening up, enterprises with different types of ownership have achieved great development as well. From the perspectives of total volume and structure, the larger proportion of private enterprises is, the more contributions they will make to the country, he pointed out.

“Vigorously supporting the development of private enterprises is also our main development guideline. The development of state-owned companies and the development of private companies do not conflict with each other. On the contrary, the interdependent sides should promote each other and achieve a mutual development to continuously expand the market,” said the head of SASAC, which supervises China’s state-owned enterprises.

The mutual integration, promotion and development between state-owned economy, private economy and other types of economies are the foundation of the economic growth, Xiao said. “Therefore, I am not worried about the competitive relationship between the state-owned and private companies, and I believe this competition will create new opportunities for cooperation and development to provide more services and products for our people,” he added.

As for the issue of operation and supervision of state-owned companies, Xiao said that SASAC will firmly implement policies to make enterprises the mainstay of the market and allow them to compete in the market and exert their vitality. SASAC will also reform the supervision method and strengthen the accountability mechanism for violations.

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Keywords: State Owned Enterprise, private company, ECONOMIC GROWTH, Living Standards