More than 200 workers have been constructing Huiyuan Technology Innovative Park, the biggest startup incubator in Shuozhou, Shanxi province, to ensure its opening by the end of 2016.
The 530 million yuan ($78.38 million) project is the epitome of Shuozhou’s achievements in attracting private investment. Faced with the economic downturn across Shanxi province, Shuozhou has focused on the private sector to fuel local development.
The local officials have visited developed cities in China, including Beijing and Shanghai, to draw lessons on finance, technical innovation, entrepreneurship and e-commerce. Meanwhile, they have issued a series of preferential policies to encourage the private companies.
In addition, the Shuozhou government has always been open about communicating and cooperating with local enterprises on solving the problems in business operations and advancing economic transformation.
As a vital component of the local economy, the private sector has contributed to the growth of the city with private investment a key driving force.
Currently, there are some 50,000 private firms, with industrial businesses accounting for 80.7 percent of them. In the first half of 2016, private investment in Shuozhou amounted to 23.91 billion yuan, representing year-on-year growth of 39.4 percent.
