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Private sector major contributor to China's new employments in 2009

(Xinhua)
Updated: 2010-01-30 11:28

China's private sector created 11.4 million new jobs in 2009, contributing to more than 90 percent of all urban new employments, latest figures from the All-China Federation of Industry and Commerce (ACFIC) showed.

Private enterprises employed 8.4 percent more workers than in 2008 despite the global economic downturn, said a report issued by the ACFIC late Thursday.

The number of registered private companies nationwide reached 7.9 million as of September 2009, nearly 10 percent higher than the end of 2008, the report showed. The registered capital of these companies reached 1.36 billion yuan ($200 million).

The growth in the private sector partly explained China's economic vitality in the globally difficult year of 2009, during which China's gross domestic product (GDP) registered an 8.7 percent growth year on year.

However, the report said China's private enterprises still faced financing difficulties, especially small companies.

Other challenges included relatively weak capabilities for innovation and imperfect internal structures, according to the report.

Since the global financial crisis in 2008, China has implemented a series of policies to stimulate its economy, encouraging investments both in the public and private sectors and boosting consumption.