China’s small businesses need ‘supportive policies’ to survive after closures tripled last year amid coronavirus
- A study found that the rate of small business closures in China last year almost tripled to 18.5 per cent compared to a year earlier
- Education, entertainment as well as agriculture and fisheries were sectors hit the hardest, while transport, storage and industrial sectors were the least affected
Small business closures in China jumped last year amid the unprecedented coronavirus outbreak, raising fresh calls for Beijing to expand rather than reduce its supportive policies for the sector that is vital for the nation’s employment.
The education, entertainment as well as agriculture and fisheries sectors were hit the hardest, with closure rates of 33 per cent, 31.7 per cent and 27.6 per cent, respectively.
The transport, storage and industrial sectors were the least affected, with reported closure rates of 13.3 per cent, 15.4 per cent and 16 per cent, respectively.
The survival of small and medium-sized enterprises is important to employment and [workers’] livelihoods. Such research will help understand the impact of such emergent accidents, and provide reference to the making of supportive policies
“The survival of small and medium-sized enterprises is important to employment and [workers’] livelihoods. Such research will help understand the impact of such emergent accidents, and provide reference to the making of supportive policies,” the report said.