It is reported that China's sharing economy is facing mixed prospects for growth: market competition is increasing and weighing on players, while the government is trying to offer more support to create an enabling environment.
The State Council, China's cabinet, Wednesday announced its decision to facilitate the healthy development of the sharing economy, amid its efforts to boost mass innovation and entrepreneurship.
The sector will enjoy easier access, greater policy transparency, and better protection of legitimate rights of platform companies, resources providers, and consumers, according to the statement released after the State Council executive meeting chaired by Premier Li Keqiang.
These moves will help mass innovation and entrepreneurship thrive, create more jobs and provide more diverse and efficient services at a lower cost, the statement noted.
"We should give credit to the sharing economy as a reinvigorating force in China's economic growth," Li said.
Entrepreneurs are encouraged to explore the sharing economy, while the authorities aim to adjust administrative approval and business registration procedures in light of new business models.
Authorities are tasked with improving public services in terms of data sharing, government service procurement, urban planning and resources management innovation, the statement said.
Financial institutions are encouraged to provide innovative services and products tailored to the demands of companies in the sector while cutting edge companies are encouraged to go global, establish their presence and build their brand name.
The trading volume of China's sharing economy more than doubled year on year to 3.45 trillion yuan (about 505 billion U.S. dollars) last year, according to a report released by the State Information Center.
The sharing economy will grow at an average annual rate of 40 percent over the next few years and will account for more than 10 percent of the country's GDP by 2020, the center predicted. (Source: Xinhua News)
Previous：Industrial Upgrading & Restructuring and Less Restrictions Contribute to More Opportunities in China
Next：FTZs Open Wider to Foreign Firms——Government Lifts Restrictions on Range of Business in Nation's 11 Pilot FTZs