Zhanjiang, Guangdong province issued the Measures to Promote High-quality Development of Small and Medium-sized Enterprises (Private Economy) in Zhanjiang on Nov 4 to further develop the private sector economy in the city.

At present, Zhanjiang has 774 private enterprises above designated size and 80 private high-tech enterprises. In 2018, the city's private sector economy realized an added value of 192.49 billion yuan ($27.5 billion). In the first half of this year, the private sector economy's added value reached 91.46 billion yuan, accounting for 63.6 percent of the city's GDP.

More than 90 percent of enterprises in Zhanjiang are private enterprises, contributing more than 50 percent of the city's fixed asset investment and foreign trade, creating more than 60 percent of its GDP and more than 70 percent of its tax revenue, as well as providing more than 80 percent of its urban jobs.

Staff members are busy working at a private sector company in Zhanjiang. [Photo/gdzjdaily.com.cn]

The private sector economy has become an important support for the city's economic development, an important source of fiscal revenue, and an important channel for increasing employment.

According to the measures, the government will: set up a risk compensation fund of 100 million yuan for the financing of small and medium-sized enterprises; arrange funds of no less than 50 million yuan per year to support infrastructure construction, land collection and storage, as well as demolition of industrial parks; give financial rewards to individuals, enterprises, and related departments for enhancing enterprise scale; give one-time rewards of 200,000, 300,000, or 500,000 yuan to enterprises for innovation purposes; as well as establish a technical transformation fund of 100 million yuan per year to promote more than 200 enterprises to carry out technological transformation.

In addition, private sector enterprises will also enjoy preferential treatments in approval services, the land supply system, public service improvement, the awarding and subsidization of enterprises transformation and technical upgrading, as well as talent introduction and training.