Government support and rapid economic growth offer "unprecedented" scope for small- and medium- sized enterprises (SMEs) to develop in China, according to Chen Yanhai, deputy director of the SME department of the State Development and Reform Commission.
This year, for the first time, the Chinese government has allocated 50 million yuan (US$6 million) to promote the development of SMEs.
The government has decided that the special fund to help implement the law on promoting SME development will be one of the important items in the fiscal budget for 2004, Chen said at a forum on the development of China's SMEs.
The commission will also offer more support for SME development by formulating favourable policies and ensuring adequate funds, he said.
In the commission's institutional reform early this year, the functions of its SME department were expanded so that it is also responsible for administering and serving SMEs.
