China offers support to 10.76 million graduates entering workforce
This comes as a record 10.76 million college students will be graduating this year when the competition for jobs is keen and economic growth is slowing.
The government will offer special help to young entrepreneurs as “starting a new business has a multiplier effect in driving up employment”, said the National Development and Reform Commission (NDRC), China’s top economic planning agency.
The NDRC said in a statement, “In recent years, more college graduates have taken part in entrepreneurship, but they also face difficulties in financing, lack of experiences and services among other [issues]. The exemplary activities this year will revolve around the promotion of college graduates’ entrepreneurial practices and employment opportunities.”
To encourage entrepreneurship among youths, the government is providing free, government-funded start-up incubators, special loans with reduced interest rates, fee and tax cuts, as well as the possibility for college students to retain school credits while taking years off to start a business.
China’s labour market remains one of Beijing’s top priorities amid a host of economic challenges, including sporadic pandemic outbreaks that continue to weigh down consumption, a property market downturn, supply shocks that have driven up the cost of raw materials, and tensions with Western nations.
The country’s small and medium-sized enterprises (SMEs), China’s main source of jobs, were particularly hard hit by the pandemic and are still under enormous pressure, according to The South China Morning Post.