Private firms up by 70pc

PUBLISHED : Friday, 16 September, 1994, 12:00am
UPDATED : Friday, 16 September, 1994, 12:00am

WHILE Beijing has a headache with loss-making state enterprises, private enterprises are mushrooming.

The number grew 70 per cent over the past year, according to the semi-official Hong Kong China News Agency.

There are now 238,000 registered private enterprises, with investment involved doubling to 68 billion yuan over the past year.

These enterprises involved more than 3.7 million people, a leap of 60 per cent on last year.

If individual entrepreneurs are included, the number of private businesses exceeded 15 million with more than 30 million staff involved.

Shanghai has topped the city list with more than 11,227 private enterprises by the end of June. Registered capital reached 300 million yuan.

The agency stressed the development of special zones for private enterprises had become a new trend, and Shanghai alone had developed more than 30 such zones in its sub-urban area.

These zones were said to attract a lot of small and medium-sized private enterprises from Hong Kong and Macau due to their 'good transportation' and convenient procedures for setting up business, according to the agency.