CHINA'S state-owned enterprises lost 41.7 billion yuan (about HK$38.75 billion) in the first nine months of this year, an increase of 18.8 per cent over the same period in 1994.
The State Statistical Bureau said yesterday the losses accounted for close to two-thirds of all mainland enterprise losses, which totalled 65.5 billion yuan.
More than 41 per cent of all state enterprises operated in the red during the same period, up 1.17 per cent on a year earlier, said bureau spokesman Ye Zhen.
Figures for mainland enterprises as a whole showed 24.1 per cent operated at a loss, 0.16 per cent more than a year ago. The profitability of state enterprises with an independent accounting system fell 9.9 per cent.
'The level of micro-economic difficulties has increased,' Mr Ye said. 'This is particularly apparent in the decline of enterprise profitability, the increase in industrial, commercial, foodstuffs and foreign trade enterprise losses and the comparative seriousness of mutual defaults between enterprises.' The triangular debt problem eased slightly, but still remained at the relatively high level of 406.9 billion yuan.
China's economic growth continued to slow from the high of 14.2 per cent three years ago, to just 9.8 per cent.
The gross domestic product reached 3,649 billion yuan, with industrial output rising 13.4 per cent to 1,282 billion yuan and agricultural production increasing five per cent to 579 billion yuan.
