China to further cut red tape for better business environment

2017-04-26 15:55:18 GMT2017-04-26 23:55:18(Beijing Time) Xinhua English

BEIJING, April 26 (Xinhua) -- China has decided to further cutred tape by integrating separate business licenses to improve thebusiness environment and stimulate market vitality.

All certificates related to business registration will continueto be sorted and merged into one license, according to a StateCouncil executive meeting presided over by Premier Li Keqiang onWednesday.

The government expects the move -- another step in loosening thegrip on the market -- will create a more favorable businessenvironment, allow a faster and more convenient process for settingup businesses, and improve productivity.

The new policy will be applied to all industries and regions,said a statement released after the meeting.

Registration items with no legal basis or those set without duelegal procedures will be canceled, and exceptions due to safety andsecurity concerns will be subject to stricter supervision.

Five pre-setup approval items, including that for establishingwholly foreign-owned printing companies, will be replaced bypost-setup approvals.

Of all the 226 pre-setup approval items in businessregistration, 87 percent have been canceled or replaced bypost-setup approvals, the statement said.

In the face of downward pressures, China has rolled out an arrayof measures to streamline administration and give the marketgreater say in hopes of sustaining economic growth. Businessregistration reforms were initiated in March 2014 by loweringbarriers for market entry and cutting red tape.

Thanks to the efforts, around 1.26 million new firms wereregistered in the first quarter, up 18 percent from a year ago.

The meeting also agreed to further develop disaster insurance inagriculture to improve farmers' incomes and help modernize thesector.

New insurance products will be promoted in around 200 countiesfrom 13 grain-producing provinces this year and in 2018, includingHebei, Heilongjiang and Anhui. Family farms, commercial farms andfarmers' cooperatives that grow rice, wheat and corn willbenefit.

The central government will pay 47.5 percent of the insurancepremium for the insured in central and western regions and 45percent for those in eastern regions, both up from current levels.Enditem