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Speech at the Entrepreneurs' Symposium

(July 21, 2020)

Xi Jinping
July 22, 2020 05:23 | Source: People's Daily
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Today, we are holding a forum for entrepreneurs. First, we will talk with you, second, we will encourage you, and third, we will listen to your opinions and suggestions on the current economic situation and the reform and development of enterprises during the 14th Five Year Plan period.

Present at today's forum are leaders of state-owned enterprises, private entrepreneurs, managers of foreign-funded enterprises, Hong Kong, Macao and Taiwan funded enterprises, and representatives of individual businesses. Everyone in different industries and regions has long experience of operation and management, and has their own observations and thoughts on the development of enterprises.

Just now, seven representatives made very good speeches. Everyone talked about the situation in a practical and realistic way, and made suggestions with strong pertinence and great reference value. I was inspired by this. Relevant departments should carefully study the opinions and suggestions put forward by entrepreneurs and formulate relevant policies and measures in a timely manner.

Now, in combination with your statements, I would like to make a few comments.

1、 Protect and stimulate the vitality of market players

Since the reform and opening up, China has gradually established and continuously improved the socialist market economy system, the market system has been developing, and various market entities have grown vigorously. By the end of 2019, China had 123 million market players, including 38.58 million enterprises and 82.61 million self-employed businesses. These market players are the main participants in China's economic activities, the main providers of employment opportunities, and the main promoters of technological progress, playing a very important role in national development. Since the outbreak of COVID-19, under the leadership of Party committees and governments at all levels, various market players have actively participated in the people's war against the epidemic, united and cooperated, overcome difficulties, and worked hard to save themselves, while providing strong material support for the prevention and control of the epidemic. I would like to take this opportunity to express my heartfelt thanks to state-owned enterprises, private enterprises, foreign-funded enterprises, Hong Kong, Macao and Taiwan funded enterprises, and self-employed businesses for their contributions to epidemic prevention and control and economic and social development!

Through the joint efforts of the whole country, China has made significant strategic achievements in the prevention and control of the epidemic, and its economic development has shown a stable and improved trend, leading the world in the prevention and control of the epidemic and economic recovery. China's economy fell sharply in the first quarter, stabilized and recovered in the second quarter, turning from negative to positive, with an increase of 3.2%. In the first half of the year, GDP fell by 1.6%, which was better than expected. We should strengthen confidence, face difficulties, make up for the losses caused by the epidemic, and strive for good economic development throughout the year.

The COVID-19 epidemic has a huge impact on China's economy and the world economy, and many market players in China are facing unprecedented pressure. The market subject is the power carrier of the economy, and the protection of the market subject is the protection of social productivity. If you leave the green hills here, you will not be afraid of no firewood. We should do everything possible to protect market entities and accumulate basic forces for economic development.

The CPC Central Committee has clearly proposed to do a solid job in "six stability" and implement the "six guarantees" task. All regions and departments have issued a series of policies and measures to protect and support market entities. Next, we need to increase policy support, stimulate the vitality of market players, so that the majority of market players can not only survive normally, but also achieve greater development.

First, we should implement the policy of helping enterprises. We should implement a more proactive and promising fiscal policy, a more prudent and flexible monetary policy, and strengthen the pertinence and timeliness of macro policies. We will continue to reduce taxes and fees, rent and interest rates, and ensure that all relief measures reach the grassroots level and directly benefit market players. We should strengthen financial support for market players, develop inclusive finance, and effectively alleviate the problem of difficult and expensive financing for enterprises, especially small and medium-sized enterprises. We should support the development of domestic markets with marketable export commodities. State owned enterprises, especially central enterprises, should play a leading role in driving various upstream and downstream enterprises through difficulties. We should strengthen international cooperation and protect the supply chain of the industrial chain.

Second, create a market-oriented, legal and international business environment. We should implement the civil code and relevant laws and regulations, protect the property rights and independent management rights of state-owned, private, foreign-funded and other enterprises with various forms of ownership equally in accordance with the law, and improve the legal environment for fair competition among various market entities. We should protect the legitimate rights and interests of entrepreneurs in accordance with the law, strengthen the protection of property rights and intellectual property rights, form long-term stable development expectations, encourage innovation, tolerate failure, and create a strong atmosphere that encourages entrepreneurs to start businesses. We should streamline administration and delegate power, fully implement the negative list system for market access, and support enterprises to better participate in market cooperation and competition. We should implement the Foreign Investment Law, relax market access, and promote trade and investment facilitation. Enterprises registered in China should be treated equally and the fair competition environment should be improved.

Third, build a pro Qing political and commercial relationship. Leaders at all levels should communicate openly with enterprises, understand what entrepreneurs think, what they are puzzled by, listen more to entrepreneurs' opinions and suggestions when formulating enterprise related policies, and resolutely prevent power and money transactions, commercial bribery and other issues from damaging political and commercial relations and the business environment. We should give full play to the decisive role of the market in resource allocation and give better play to the role of the government. The government is the maker of market rules and the defender of market fairness. It should provide more high-quality public services. It is necessary to support entrepreneurs to focus on their long-term plans, build their businesses with perseverance, take root in the Chinese market and deepen their efforts in the Chinese market.

Fourth, attach great importance to supporting the development of individual businesses. There are more than 82 million self-employed businesses in China, which has driven the employment of more than 200 million people. It is the largest market player, the most direct service provider for people's life, and currently faces the most practical difficulties. We should actively help individual businesses to solve problems in rent, taxes, social security, financing and other aspects, and provide more direct and effective policy support.

2、 Promote entrepreneurship

Since the reform and opening up, a large number of enterprisers with courage and innovation have flourished and formed a team of Chinese entrepreneurs with distinctive characteristics of the times, national characteristics and world standards. To lead enterprises to overcome current difficulties and move towards a more brilliant future, entrepreneurs must constantly improve themselves in patriotism, innovation, integrity, social responsibility and international vision, and strive to become a new force in building a new development pattern, building a modern economic system and promoting high-quality development in the new era. Here, I would like to raise some hopes.

First, I hope you can enhance your patriotism. Enterprise marketing has no borders, entrepreneurs have the motherland. Excellent entrepreneurs must have a lofty sense of mission and strong sense of responsibility for the country and the nation, closely combine enterprise development with national prosperity, national prosperity, and people's happiness, take the initiative to take responsibility for the country and share the country's worries, which is the so-called "those who are good for the country love, those who are bad for the country". Patriotism is the glorious tradition of China's outstanding entrepreneurs since modern times. From Zhang Jian at the end of the Qing Dynasty to Lu Zuofu and Chen Jiageng during the Anti Japanese War, to Rong Yiren and Wang Guangying after the founding of New China, they are all examples of patriotic entrepreneurs. Since the reform and opening up, China has also emerged a large number of patriotic entrepreneurs. There are many ways for entrepreneurs to realize patriotism, but the first is to run a first-class enterprise, lead the enterprise to strive for first-class, and achieve development with better quality, higher efficiency, stronger competitiveness and greater influence.

Second, I hope everyone is brave to innovate. Innovation is the first driving force for development. "Wealth means great cause, and daily innovation means great virtue." Entrepreneurs' innovation activities are the key to promoting the innovative development of enterprises. Edison and Ford of the United States, Siemens of Germany, Konosuke Matsushita of Japan and other famous entrepreneurs are both masters of management and innovation. Since the reform and opening up, China's economic development has made remarkable achievements, which is inseparable from the entrepreneurs' efforts to promote the spirit of innovation. Innovation means taking risks. Dare to serve the world first is to overcome risks and challenges and achieve high-quality development. At the moment of the epidemic, everything is difficult, but the danger is organic, and only innovators win. Entrepreneurs should be explorers, organizers, and leaders of innovation and development, be brave to promote production organization innovation, technological innovation, and market innovation, attach importance to technology research and development and human capital investment, effectively mobilize the creativity of employees, strive to build enterprises into powerful innovation subjects, and achieve phoenix nirvana and rebirth in difficulties.

Third, I hope you are honest and law-abiding. "Honesty is the way of heaven; honesty is the way of people." People can't stand without faith, especially enterprises and entrepreneurs. The socialist market economy is a credit economy and a rule of law economy. Entrepreneurs should deal with all aspects and mobilize various resources, such as human, financial and material resources. Without integrity, it is difficult to move forward. For various reasons, some enterprises still have many phenomena of dishonesty and even violation of laws and regulations in their business activities. The consciousness of rule of law, the spirit of contract and the concept of keeping promises are the important consciousness norms of modern economic activities, and also the important requirements of credit economy and rule of law economy. Entrepreneurs should set an example of honesty and law-abiding, and promote the moral quality and civilization of the whole society.

Fourth, we hope that everyone will take social responsibility. As I said, enterprises have economic responsibility, legal responsibility, social responsibility and moral responsibility. Any enterprise that exists in the society is a social enterprise. Society is the stage for entrepreneurs to display their talents. Only entrepreneurs who sincerely repay the society and earnestly fulfill their social responsibilities can be truly recognized by the society and are entrepreneurs who meet the requirements of the times. Over the years, more and more entrepreneurs have devoted themselves to various public welfare undertakings. In the fight against COVID-19, entrepreneurs actively donated money and materials and provided voluntary services, making important contributions that deserve full recognition. At present, employment pressure is increasing, and some workers are facing unemployment risks. Caring for employees is an important aspect for entrepreneurs to fulfill their social responsibilities. Efforts should be made to stabilize jobs, care for employees' health, and work with employees to tide over difficulties.

Fifth, I hope you can expand your international perspective. The vision is as big as the mind. Since the reform and opening up, Chinese entrepreneurs have grown up in the international market, and their ability to use the two markets and resources at home and abroad has been constantly improved. In the past 10 years, Chinese enterprises have significantly accelerated their pace of going global, participated more widely and deeply in international market development, and produced more and more world-class enterprises. In recent years, economic globalization has encountered counter current and economic and trade frictions have intensified. Some enterprises have adjusted their industrial layout and global resource allocation based on factor costs and trade environment. This is a normal adjustment of production and operation. At the same time, we should see that China is the world's most potential market with the most complete industrial supporting conditions. Entrepreneurs should base themselves on China and look at the world, improve their ability to grasp the trends and demand characteristics of the international market, improve their ability to grasp international rules, improve their ability to explore the international market, improve their ability to prevent risks in the international market, drive enterprises to achieve better development in a higher level of opening up, and promote domestic and international double circulation.

3、 Concentrate on your own business

As I said at the National "Two Sessions" this year, facing the future, we should gradually form a new development pattern with domestic circulation as the main body and domestic and international double circulation promoting each other. The main consideration is that the world today is experiencing a great change that has not happened in a century, and a new round of scientific and technological revolution and industrial transformation is booming. Previously, under the external environment of the deepening development of economic globalization, the "two ends out" of the market and resources played an important role in China's rapid development. In the current external environment of rising protectionism, sluggish world economy and shrinking global market, we must give full play to the advantages of the domestic super market, add impetus to China's economic development and drive the recovery of the world economy by prospering the domestic economy and unblocking the domestic circulation. We should improve the modernization level of the industrial chain supply chain, vigorously promote scientific and technological innovation, speed up the key core technology research, and create new advantages for future development.

I have stressed on many occasions that the door of China's opening will not be closed, but will only open wider and wider. Taking the domestic circulation as the main body, it is not a closed door operation, but a more powerful and sustainable development by giving play to the potential of domestic demand, making better connection between the domestic market and the international market, and making better use of the international and domestic markets and resources. In the long run, economic globalization is still a historical trend, and the division of work and cooperation among countries for mutual benefit and win-win results is a long-term trend. We should stand on the right side of history, persist in deepening reform and expanding opening up, strengthen openness and cooperation in science and technology, promote the construction of an open world economy, and promote the construction of a community with a shared future for mankind.

Starting next year, China will enter the "14th Five Year Plan" period, which is the first five years of the new journey of building a socialist modern country in an all-round way on the basis of building a moderately prosperous society in an all-round way. It is of great significance. The CPC Central Committee attaches great importance to the formulation of the 14th Five Year Plan, and relevant preparations are under way. Today, we have put forward a lot of valuable opinions and suggestions on the formulation of the 14th Five Year Plan. Please study and absorb them carefully. I believe that through joint efforts, enterprises and individual businesses will play a greater role in the process of socialist modernization and achieve greater development.

(Xinhua News Agency, Beijing, July 21)

People's Daily (July 22, 2020, version 02)

(Editor in charge: Bai Yu, Yang Guangyu)

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