In 1997,China International
Center for Economic and Technical Exchanges (CICETE), on behalf of the
Chinese government, signed an economic and technical cooperation project
named "Reform and Development of SME" (CPR/96/513) with UNDP in order
to assist China's SME development. The project includes the following
aspects: to formulate policy framework to support the development of SME,
to set up local social service systems, to promote SME development as
well as to trial on SME credit guarantee fund. The executing agency of
this project is CICETE. The recipient and implementing agency is the SME
department under the State Economic and Trade Commission (SETC) of China
and the trial city is Zhenjiang City, Jiangsu province.
After three years, this project has yielded fruitful results. In 1998, the first standardized credit guarantee center which follows the international practice was set up in Zhenjiang City. This center has become a model and is followed by similar credit guarantee centers in other cities. Until now, more than 200 such centers have been set up in China. A major problem facing SMEs is lack of access to financing. While a major obstacle to financing is guarantee. Thus" a Credit Guarantee Fund" has become a "breakthrough" in SMEs' growth. In 1999, the SETC issued "Trial Theme on Building Credit Guarantee System". In 2000, the SETC issued" Comments on Fostering A Social Business Support System for the Development of SMEs" and "Trial Scheme on Buidlng A Service System for SMEs in the Succession". The State Council General Office also issued the document of SETC"Comments on Encouraging and Promoting SMEs Development from the Policy Perspective". Thus, the policy framework for SME development has been primarily set up. In the same year, a social service system was set up in Zgenjiang City. In 2001, Zhenjiang SME service centre started operation and "The SME Development Guideline in Zhenjiang City" was implemented. Thus the basic policy framework for SMEs development in Zhenjiang City has been laid out.
The success of the above-mentioned project has accelerated the formation and implementation of relevant policies for SMEs' debelopmentm, Therefore, the UNDP(China office), SME department of SETC and CICETE jointly decided to convene an international meeting before the conclusion of this project, so as to summarize and popularize the experience of this project as well as to discuss measures and policies to further the development of SMEs.
China is at a transitional period with employment becoming more acute. SME plays an indispensable role in promoting economic growth, creating jobs and maintaining social stability. The Chinese government, research institutes, NGOs and foreign aid agencies all have been very active in participating in promoting China's SNE development. In the meantime, many other countries are also researching and practicing policies and measures to promote the expansion of SMEs. From 27 to 30, August," APEC SME Ministerial Meeting" will be held in China. With China's accession to WTO, Chinese firms including the SMEs will be ready for the impact of globalization. In this context, it is of great significance to hold such a conference to discuss problems facing SNEs to summarize positive and negative experience, to look to the future of SMEs and discuss policies and measures to promote the development of SMEs.
After three years, this project has yielded fruitful results. In 1998, the first standardized credit guarantee center which follows the international practice was set up in Zhenjiang City. This center has become a model and is followed by similar credit guarantee centers in other cities. Until now, more than 200 such centers have been set up in China. A major problem facing SMEs is lack of access to financing. While a major obstacle to financing is guarantee. Thus" a Credit Guarantee Fund" has become a "breakthrough" in SMEs' growth. In 1999, the SETC issued "Trial Theme on Building Credit Guarantee System". In 2000, the SETC issued" Comments on Fostering A Social Business Support System for the Development of SMEs" and "Trial Scheme on Buidlng A Service System for SMEs in the Succession". The State Council General Office also issued the document of SETC"Comments on Encouraging and Promoting SMEs Development from the Policy Perspective". Thus, the policy framework for SME development has been primarily set up. In the same year, a social service system was set up in Zgenjiang City. In 2001, Zhenjiang SME service centre started operation and "The SME Development Guideline in Zhenjiang City" was implemented. Thus the basic policy framework for SMEs development in Zhenjiang City has been laid out.
The success of the above-mentioned project has accelerated the formation and implementation of relevant policies for SMEs' debelopmentm, Therefore, the UNDP(China office), SME department of SETC and CICETE jointly decided to convene an international meeting before the conclusion of this project, so as to summarize and popularize the experience of this project as well as to discuss measures and policies to further the development of SMEs.
China is at a transitional period with employment becoming more acute. SME plays an indispensable role in promoting economic growth, creating jobs and maintaining social stability. The Chinese government, research institutes, NGOs and foreign aid agencies all have been very active in participating in promoting China's SNE development. In the meantime, many other countries are also researching and practicing policies and measures to promote the expansion of SMEs. From 27 to 30, August," APEC SME Ministerial Meeting" will be held in China. With China's accession to WTO, Chinese firms including the SMEs will be ready for the impact of globalization. In this context, it is of great significance to hold such a conference to discuss problems facing SNEs to summarize positive and negative experience, to look to the future of SMEs and discuss policies and measures to promote the development of SMEs.