On Thursday, the State Council Information Office introduced the Chinese mainland’s first-ever Private Sector Promotion Law, set to take effect on May 20. Designed to unlock the full potential of private enterprises, the law marks a significant milestone in national economic policy.
Officials at the press conference highlighted the private sector’s critical role in driving growth across industries. With over 90 percent of market entities classified as private enterprises, the sector already contributes substantially to key economic indicators:
Key Data Highlights
- 56.8 percent of foreign trade
- More than 50 percent of fixed-asset investment and tax revenue
- Over 60 percent of GDP
- Over 70 percent of technological innovations
- More than 80 percent of urban employment
For young entrepreneurs and startup founders, this new law offers clearer rules and stronger guarantees, fostering an environment where innovation can thrive. Meanwhile, multinational investors and digital nomads will be watching closely as the private sector gains fresh momentum on the global stage.
In a world where economic landscapes shift rapidly, the Chinese mainland’s Private Sector Promotion Law stands out as a bold move to reinforce private enterprise as a cornerstone of sustainable growth, tech innovation, and job creation.
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Graphics: China's first law on private economy to come into effect
cgtn.com
