Economy

Multiple measures to stimulate the vitality of private investment and stabilize market expectations

2022-12-08   

The Opinions on Further Improving the Policy Environment and Strengthening Support for the Development of Private Investment, issued not long ago, put forward 21 measures from six aspects, including giving play to the role of major projects as traction and government investment as leverage, accelerating the implementation of private investment projects, and guiding the high-quality development of private investment. The Opinions aims to stimulate the vitality of private investment with market approaches and reform measures, which is conducive to mobilizing the enthusiasm of all parties for investment, better stabilizing market expectations and enhancing the potential for development. Investment is an important force to expand domestic demand and plays a key role in optimizing the supply structure. Private investment is not only the main force of investment, but also a very dynamic and resilient part of investment. Since this year, China's private investment has accounted for more than 55% of the total investment, with a cumulative year-on-year growth of 2.0% in the first three quarters. In the work of stabilizing investment, stabilizing private investment is an important aspect. The report of the 20th National Congress of the Communist Party of China proposed to optimize the development environment of private enterprises, protect the property rights of private enterprises and the rights and interests of entrepreneurs according to law, and promote the development and growth of private economy. Private enterprises are the main body of private investment, and the growth of private economy is manifested in the growth of the total amount of private investment, incremental expansion, and structural optimization. The Opinions issued this time are highly targeted, involve a wide range of fields and make great efforts. Focusing on boosting private investment, they not only focus on the current practical problems of the development of private enterprises, but also focus on the long-term development of private economy. They attach importance to maintaining stable growth and employment, as well as focusing on restructuring and promoting development. To further make good use of adequate policies and stimulate the vitality of private investment, we can start from various aspects. On the one hand, we should play a good role in leveraging government investment. In practice, with the traction of major projects and the leverage of government investment, private investment can be effectively boosted. When arranging various government investment funds, private enterprises should be treated equally, and actively use investment subsidies, loan discount and other ways to support the construction of qualified private investment projects. We will make good use of government funded industry guidance funds and increase support for private investment projects. We will promote the standardized development and sunshine operation of the government and social capital cooperation (PPP) model, and guide private investment to actively participate in infrastructure construction. On the other hand, we should continue to increase financial support. For a long time, private enterprises have been faced with high financing costs, multiple credit enhancement conditions, information asymmetry and other problems. The financial sector has great potential to solve the financing difficulties of private enterprises and stimulate their new vitality. We should improve the bond financing support mechanism for private enterprises and increase the support for bond financing of private enterprises. Guide financial institutions to innovate financial products and services, reduce the level of loan interest rates for private enterprises and financing related expenses, and increase support for qualified private investment projects. (Liu Xinshe)

Edit:wangwenting Responsible editor:xiaomai

Source:people.cn

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