China plans to strengthen supervision and administration mechanism to advance the healthy development of small and medium-sized enterprises (SMEs), according to the draft amendment to the Law of Promoting Small and Medium-Sized Enterprises which was submitted to the Standing Committee of the National People's Congress for a second reading on June 22.
The draft amendment further specified the management mechanism of promoting work of SMEs. The State Council puts forward policy on advancing SMEs development, establishes promotion work coordination mechanism for SMEs, and makes overall plan for the promotion of SMEs. It is responsible for the department of comprehensive administration to carry out policy of pushing forward SMEs development, and provides macro-instruction, comprehensive coordination as well as supervision and inspection for work of promoting SMEs.
The draft regulated that people’s governments above the county level should SMEs promotion work coordination mechanism, define corresponding comprehensive authorities responsible for the SMEs promotion work, and should be responsible for the SMEs promotion work within their own administrative regions.
The draft added regulations on the supervision responsibilities of people’s governments above county level and relevant departments, and made stipulation on supervising management and utilization of special capitals and funds for SMEs development. Meanwhile, it also put forward stipulation on investigating and dealing with behaviors of forcing SMEs to join in some activities and behaviors like charging or fining SMEs illegally.
In addition, the draft revised contents about cutting tax for SMEs, tackling financing difficulty, lowering SMEs costs, and training SMEs managers.
Translated by Vanessa Chen
Latest comments