Will Bailout Funds for Private Companies Fundamentally Change Their Plight?
Du Qingqing
DATE:  Jan 14 2019
/ SOURCE:  yicai
Will Bailout Funds for Private Companies Fundamentally Change Their Plight? Will Bailout Funds for Private Companies Fundamentally Change Their Plight?

No. The function of bailout funds is to prevent private companies from short-term debt defaults, avert systemic risks from equity pledges and liquidity crunches and ensure sustainable short-term operations.

Only by improving financing and profitability can private companies fully settle their problems. China must thus improve its multi-level capital market, optimize its business environment, reduce institutional costs, and promote fair competition to truly help out the private sector.

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Keywords:   Predictions2019,Private Companies