New private firms boost Guangzhou

Private enterprise is growing in Guangzhou. In Q1, the number of private companies in the city grew 29.2% YoY to just under one million, with their registered capital more than doubling to RMB8.6 trillion.

According to statistics released by the city government, private enterprises account for 38.3% of the city’s total GDP, and their output rose 7.8% YoY in Q1. This was 0.3 percentage points higher than Guangzhou’s overall GDP growth rate, and 2.2 percentage points higher than the same period of the previous year.

The rise in capital was due primarily to a surge in industrial investment, which jumped 68.2% YoY.

Guangzhou officials continue to emphasize how the city’s business environment is being improved. The city has also been working to alleviate financing challenges for smaller firms, especially with the recent establishment of a RMB20 billion fund, half of which has been disbursed already.

Read more(in Chinese).