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China vows to support private businesses in bid to boost economic growth | CNN Business

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China has promised to throw its weight behind private businesses, just days after a slew of economic data showed growth momentum had slumped.

The ruling Communist Party and the State Council, the cabinet, issued a policy document on state media late on Wednesday detailing a list of measures intended to make private businesses “bigger, better and stronger.” “The private economy is a new force to promote Chinese-style modernization, an important foundation for high-quality development, and an important force to promote China’s comprehensive building of a socialist modern power,” it said.

Their support is now crucial as China struggles to fire up its struggling economy. On Monday, official data showed growth continued to lose steam in the April to June months, prompting urgent calls by economists for more stimulus from Beijing. Tepid investment, record youth unemployment Private businesses, the backbone of the economy and the biggest source of employment, have been hesitant to hire or make new investments, in part because of the regulatory crackdown which began in late 2020.

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