China publishs rules to promote development of individually-owned business to stablize employment

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China’s State Council, the cabinet, published a series of rules on Tuesday to promote the development of individually-owned businesses and stabilize employment in urban and rural areas, as individual entrepreneurs play an important role in the national economy and social development.¬†

China encourages and promote venture capital institutions and social capitals to invest in individually-owned businesses and the government will provide tax and fee incentives to promote development of the businesses, according to the rules.

The authority encourages financial institutions to develop and provide financial products and services suitable to individually-owned businesses and increases the amount and coverage of lending to the businesses, it said.

Individual entrepreneurs play an important role in economic prosperity, increasing employment, promoting entrepreneurship and innovation, as well as facilitating the lives of residents, the regulations said.

The regulations stressed the principle of equal access to the market and fair treatment of individual entrepreneurs, noting that their property rights and business autonomy are protected by law.

The authority requires relevant departments not to discriminate against individual entrepreneurs when formulating relevant policies, and to avoid charges for individual businesses that violate laws.

The regulations will take effect from November 1, 2022, the State Council said.