|Employees look at a 3D printing model in their office an innovation park in Xi'an, Shaanxi province opf China, July 28, 2016. (Photo / VCG)|
SHENZEN -- The private sector had great market potential and should have more support in promoting innovation on the Chinese mainland, an economist told a Shenzhen forum on Monday.
Bernard Yeung, the Dean of the National University of Singapore (NUS) Business School, said the Chinese mainland had a “very energetic private sector” which took the lead in making disruptive, leapfrogging changes.
The Asian economy has become more and more integrated and China is in the center of the integrated economic systemBernard Yeung, Dean of the National University of Singapore (NUS) Business School
The government needed to stimulate the market by developing institutions and facilitating private-sector activities in order to promote innovative economic development, he said.
Yeung was speaking at the Shenzhen Flagship Forum on Innovation, themed Transforming and Upgrading Traditional Industries, held by NUS business school.
He acknowledged that small- and medium-sized enterprises and large state-owned enterprises in the mainland did not play on a level field as the big SOEs had more access to the market and capital, but he believed the situation would improve through step-by-step reform which was in progress.
The Belt and Road Initiative, proposed by President Xi Jinping in 2013 with the aim of strengthening international trade and economic cooperation, played an important role in promoting innovation and growth of Chinese enterprises, Yeung pointed out, as it helped change government behavior, stimulate capital market integration, build connectivity and create strategic flexibility.
Meanwhile, anti-corruption reforms were “crucially important” in achieving the goal, he stressed.
Yeung is bullish on mainland economic prospects. “The Asian economy has become more and more integrated and China is in the center of the integrated economic system,” he said.
According to official statistics, more than 50 percent of mainland exports go to Asia and the region accounts for over 60 percent of imports.