A number of ministries, including the Ministry of Public Security, along with the Ministry of Human Resources and Social Security, have responded to recent public concern regarding personal information, reining in SOE debt and incentives to support business startups in rural regions.

Personal information checks to be more efficient

The Ministry of Public Security answered questions posted on its website regarding the use of IDs. One post highlighted that personal IDs cannot be recognized when registering at train stations, airports and telecommunication operators, but can be recognized when checking into hotels, and this has created confusion and inconvenience.

The Ministry of Public Security says the ministry will improve its cooperation with other departments, such as departments of finance, telecommunications, transportation, railroads and civil aviation to make the personal information network more comprehensive. It also stressed that official departments are not allowed to turn down requests on presentation of a valid ID.

Financing procedures to be eased for rural startups

Greater financing will be available to make it more convenient for migrant workers and retired members of the armed forces who return to rural areas to start businesses, Zhang Yizhen, vice-minister of human resources and social security, said on Jan 19.

Zhang made the remarks during a news conference on upcoming guidelines of policy incentives for migrant workers, college students and retired military personnel who choose to start businesses in rural regions. The guidelines were approved at the State Council’s executive meeting chaired by Premier Li Keqiang on Jan 17.

The Ministry of Human Resources and Social Security will work to further implement and improve the loan policy for startups, while the credit record system for those who start businesses will be improved.

Zhang said that State-owned commercial banks will direct their subbranches to approve credit for those who return to start businesses. Also, the financing model covering government, banks and insurance will be extended to rural startups, she said.

Stronger focus on lowering SOE debt-to-asset ratio

China aims to cut the average debt-to-asset ratio by another 2 percentage points for its centrally administered State-owned enterprises by 2020, the State-owned Assets Supervision and Administration Commission said on Jan 17.

Shen Ying, chief accountant at the SASAC, said as the government will continue to leverage and cut debt, as well as urge SOEs to repay their bonds on time this year, central SOEs are confident of repaying their debt and preventing risks in 2018.

Figures from the SASAC shows that average debt ratio for central SOEs stood at 66.3 percent by the end of 2017, down 0.4 percentage points from the beginning of the year. Sixty-two of these enterprises have lowered their debt ratio in comparison to the previous year.

The SASAC will tighten controls on auditing, review submitted information and build long-term supervision mechanisms to prevent fraudulent data activities in central SOEs, as well as sanction company executives who break the rules.