BEIJING, Sept. 16 (Xinhua) -- Although China's private sector is picking up, multiple hurdles remained for private investment, and more efforts are needed to create a good business environment, a latest report showed.
While policy changes have helped confidence among private businesses, they still have difficulties with entry qualifications in some industries including electricity and military sectors, according to a report by Chinese Academy of Governance.
High land and labor costs, as well as financing troubles are among the major restraints for private investment, the report said, laying some of the blame on poor policy implementation.
Since the 1980s, private businesses have had a bigger role and now contribute more than 60 percent of GDP growth and provide over 80 percent of jobs. In recent years, the sector has become less vibrant due to external factor and high costs, entry restrictions and financing difficulties.
The report suggests better protection for the property rights of private businesses, opening up more industries and reduced financial burdens as ways forward.
On Friday more measures were introduced in an attempt to improve government services and offer more financing channels, especially for public private partnerships.
Private fixed-asset investment (FAI), which accounts for more than 60 percent of total FAI, grew 6.4 percent year on year in the first eight months.
