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Interpretation of the National People's Congress proposals on economic policy
"The private economy is an important support for China's economic development and an important source of power for China's economic growth

1. Multiple measures to boost confidence in the development of the private economy. First, to create a market environment in which entrepreneurs of all types of ownership have equal rights, equal opportunities and equal rules. The second is to create a social atmosphere that inspires entrepreneurs to start their own businesses, shaping a new type of "pro" and "clear" political and business relations. The third is to create a fair and standardized rule of law environment, and strengthen the protection of enterprise intellectual property rights and entrepreneurs' property rights and other legitimate rights and interests.

2. Continuously optimize the business environment, improve the level of government services. First, around the business start-up and cancellation, construction permits, real estate registration and other key aspects of the business environment to carry out benchmarking and enhancement actions. Second, the establishment of private economic development joint conference system and "private entrepreneurs reception day" activities and other docking mechanisms, smooth communication channels between government and enterprises. Thirdly, we have strengthened the publicity of enterprise-related policies in the public*** media, so as to convey to the market in a timely manner the government's analysis and judgment of the situation as well as its policy orientation. Fourth, governments at all levels will increase their efforts to study, research and implement enterprise-related policies. Fifth, to promote the private enterprise relief action.

3. Continue to reduce the tax burden on enterprises. The first is to moderately reduce the enterprise income tax rate, the labor-intensive small and micro enterprises to give preferential low enterprise income tax rate; for the state to encourage the development of the industry's growth of small and medium-sized micro enterprises of fixed assets, especially machinery and equipment, allowing the choice of the implementation of the double-declining-balance method, the sum-of-the-years method and other methods of accelerated depreciation. Secondly, it will improve the VAT policy and accelerate the optimization of policies such as simplifying and merging the second tax rate, relaxing the conditions for tax rebates and expanding VAT input credits. Thirdly, it will continue to provide tax incentives to small and micro enterprises with operational difficulties, and appropriately extend the social insurance premium reduction and exemption policy. Fourth, scientifically formulate preferential tax policies to encourage private enterprises' industrial upgrading, energy conservation and emission reduction, digital transformation, and innovation and entrepreneurship. Fifth, to further sort out and streamline the list of fees and charges catalog.

4. Effectively reduce the financing costs of the private economy. First, commercial banks are encouraged to introduce financial products and services corresponding to the financing characteristics of private enterprises, which are "short, small, urgent and frequent". The second is to establish and improve the financing guarantee system. Thirdly, developing multi-level capital market and encouraging private economy to expand equity financing. Supporting eligible private enterprises to issue corporate bonds and asset securitization products for financing. The fourth is to improve the private enterprise credit system.

The China Business News reporter recently learned in an interview that Yang Decai, a member of the National Committee of the Chinese People's Political Consultative Conference (CPPCC), director of the Institute of Private Economy of Nanjing University, and professor of the School of Business of Nanjing University, has brought the "Proposal on Further Optimizing the Policy Environment to Promote the Sound Development of Private Economy" to this year's two sessions.

The private economy is an important force driving the growth of the national economy. Relevant data show that the private economy contributes more than 50% of the tax revenue, more than 60% of the GDP, more than 70% of the technological innovations, more than 80% of the urban labor force, and more than 90% of the number of enterprises.

"In recent years, in order to promote the healthy and sustainable development of the private economy, governments at all levels have introduced a number of policy initiatives, private economic development business environment has been greatly improved. But the new crown pneumonia epidemic since the occurrence of private investment is not high, private economic development hovering, is an indisputable fact." Yang Decai said that this is related to both the changed domestic and foreign market environment, but also with the policy environment.

So how should we better promote the further optimization of the policy environment and the sound development of the private economy under the normalization of the epidemic?

The reporter noted that, in Yang De Cai's proposal, it will be "precise formulation of the policy mechanism, efficiently promote the policy landing, to create a more fair and just business environment" in the first place on the proposal to "improve the entrepreneurs to participate in the enterprise-related policymaking mechanism, uphold the 'problem-oriented', 'problem-oriented'. The principle of 'problem-oriented' 'find the pain point', fully understand and listen to the actual needs of entrepreneurs, so that the enterprise-related policies more connected to the 'local atmosphere'.

Yang De Cai also believes that there is a need to "promote the efficient implementation of various policies to promote the development of the private economy, authoritatively announce the list of enterprise-related policies, broaden the publicity and declaration channels, and improve the transparency of the policy and awareness. Streamline the policy fulfillment link, strengthen the policy implementation tracking, improve the efficiency of policy fulfillment, so that private enterprises from the policy to enhance the sense of gain", at the same time to "promote the implementation of fair competition review system, clean up the revision of policies and regulations that impede the fair competition of private enterprises".

In addition to this, "continue to deepen the release of administrative services reform, improve and perfect the normalization of the system of government-enterprise contact services", "deepen the action of reducing the burden, and increase the efforts to alleviate the difficulties of help", "cultivate small and medium-sized micro-enterprise entrepreneurship and innovation platforms. " is also highlighted by Yang De Cai.

For example, in the proposal of "deepening the action of burden reduction, increasing the efforts of relief and assistance, expanding the financing channels for private enterprises, and improving the risk resolution measures", Yang De Cai believes that: "Firstly, we will continue to carry out the action of 'sunshine burden reduction', and strictly implement the actions of governments at all levels to reduce the burden and reduce the burden.

"The second is to support the conditions ripe for enterprises to carry out standardized shareholding system transformation, and promote high-quality enterprises to actively docking capital market. Strengthen the 'silver business cooperation' to build a platform for bank-enterprise docking, gradually increase the proportion of credit loans, and expand the range of loan collateral." Yang De Cai believes that by "promoting credit resources to science and technology-based, innovative, growth-oriented enterprises tilt, tailored to create small and medium-sized enterprise financing credit service products."

Yang also believes that at the same time, it is necessary to "high-quality private enterprises and listed companies, to support the development of bond financing, equity financing, the establishment of listed companies sound development fund, to prevent the liquidity risk of listed companies. On the main business operation is good, the temporary capital chain tension of enterprises, coordination of financial institutions to protect the reasonable demand for funds; on the normal repayment of interest enterprises, shall not arbitrarily suspend loans, draw loans, pressure loans, cut off loans, shall not be attached to the unreasonable credit conditions.

And "cultivate entrepreneurship and innovation platforms for SMEs, give full play to the role of industry associations and chambers of commerce, and enhance the attractiveness of talents" is also highlighted by Yang De Cai, who believes that the construction of SME parks can be accelerated by "strengthening the layout of the plan and accelerating the construction of SME parks in accordance with the basis of the leading industries in each region. The construction of enterprise parks," "actively create a loose environment conducive to the survival and development of industry associations," and so on to speed up the implementation of the recommendations.

Yang De Cai finally said, in the "increase the strength of the talent policy, but also to meet the talent on medical, children's schooling, innovation platform construction, life and leisure, academic exchanges, interpersonal communication, and other higher-level needs, to enhance the sense of belonging to the talent".