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China's private companies, self-employed households flourish in past 40 years

Source: Xinhua| 2018-12-09 18:02:09|Editor: Yurou
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BEIJING, Dec. 9 (Xinhua) -- The numbers of China's private companies and self-employed households have grown rapidly over the past 40 years of reform and opening up, according to the State Administration for Market Regulation (SAMR).

By the end of October 2018, China has 71.37 million self-employed households and 30.67 million private companies, growing at least 500-fold and 338-fold, respectively.

China only had 140,000 self-employed households in 1978 when it launched its reform and opening up. And the number of private companies on registration was 90,500 in 1989.

The numbers of private economic entities boomed during the past decades as the government kept improving business environment, including loosening restrictions on business registration.

The private sector now plays an important role in the Chinese economy, contributing to more than half of tax revenue, 60 percent of the gross domestic product (GDP), 70 percent of technological innovation and new products, 80 percent of urban employment and 90 percent of new jobs.

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