SCIO press conference on promoting steady operation and quality upgrading of industry and ICTs
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E-mail China.org.cn, March 3, 2022
CNR:
SMEs have been significantly affected by the pandemic. We have noticed that a series of tax and fee reduction measures have been introduced at the national and local levels to ease their difficulties. With the support of these policies, what is the current situation of SMEs? What measures will the MIIT take to further support their development this year?
Xiao Yaqing:
Thank you for your questions. The CPC Central Committee and the State Council have always attached great importance to the development of SMEs, and have issued a series of policies and measures to help solve the difficulties faced by SMEs and stimulate their vitality. With the support of various polices, especially under the efforts made by SMEs themselves, the operating income and total profit of industrial SMEs above designated size increased last year by 19.9% and 25.6%, respectively, with average two-year growth rates of 9.9% and 16.8%. Both are higher than the levels of 2019 before the pandemic. The survey we conducted on 27,000 SMEs shows that the resumption of work after this year's Spring Festival was satisfactory. I reported on the status of the resumption of work before the Lantern Festival. At the same time, we are also aware that the economic situation at home and overseas has been severe and complex. The foundation for the development of SMEs has not yet been stabilized. In particular, disrupted by the sporadic resurgences of COVID-19, insufficient market demand, rising costs, difficulties in collecting accounts receivable, problems in recruiting workers and other issues have been quite prominent. In order to further help SMEs, we will take the following measures:
First, we will attach greater attention to implementing policies, and promote detailed implementation of policies that benefit enterprises. The central government has introduced many policies and measures to help SMEs. Since last year, 25 such policies have been promulgated at the national level, and 52 series of policy measures have been issued at the provincial level. We will strengthen overall coordination, increase policy publicity and interpretation, so that SMEs can have a better understanding of these policies, and the way to better use them. We will conduct third-party assessments into the development environment of SMEs, and jointly implement the policies of fiscal taxation, financial credit and guaranteeing stable prices, in order to ensure SMEs benefit from the policies.
Second, we will do more to provide enterprises with accurate services and help them solve problems. In response to the demands of SMEs, we will continue to provide them with accurate services in conjunction with relevant departments and regions. We will initiate a "Benefiting Enterprises Together" nationwide service action to provide public services to SMEs, and continue the SMEs Service Month campaign. We will also hold the China International SME Fair and the APEC SME Technology Exchange and Exhibition, and mobilize all sectors to serve SMEs well. We will take measures to clear arrears owed to SMEs, and protect the legitimate rights and interests of SMEs in accordance with the law. There are still many large enterprises and institutions that have defaulted on payments to SMEs, which is the focus of our rectification work this year. At the same time, we should work to ease difficulties and the high cost of financing. We need to guide financial institutions to increase support to micro, small, and medium enterprises (MSMEs), and encourage SMEs to increase the total amount of financing, expand the scope of benefits and lower financing costs.
Third, we will encourage SMEs to focus on their specialisms in niche sectors, and support more SMEs to become suppliers of unique products and experts in complementary services. This year, there are plans to cultivate another 3,000 national-level specialized "little giant" firms, and encourage provinces to foster SMEs with specializations and to bring the number up to 50,000. According to the data, the total sales volume, profits and innovation capacity of the SMEs and "little giant" enterprises that specialize in niche sectors have significantly improved compared with ordinary ones. We will focus on supporting the development of such enterprises around the industrial chain, and better guide and encourage leading enterprises to support the development of SMEs. We will launch a campaign to promote integrated innovation among large, medium and small-sized enterprises. We will also encourage them to open up their innovative resources, including technologies, markets, standards and human resources in accordance with the market and the rule of law. Thank you.
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