SCIO briefing on administrative approval system reform
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E-mail China.org.cn, September 10, 2014
Dragon TV:
The reform of the administrative approval system means a reduction in the number of matters requiring government review and approval. Nowadays, with the rise of the Internet, many new business and investment models have appeared. How should these new items be supervised? Are they allowed as long as there are no laws banning them? Or how will they be managed?
Li Zhangze:
You raise a good question. First, any market behavior that is not prohibited by the law is allowed. Second, recently we have been tidying up those business registration items subject to preliminary review and approval. To date, 226 items that were previously subject to State Council preliminary review and approval, have been sorted out. In the past, an operating permit needed to be granted before a business registration; nowadays, it is possible to issue a license before an operating permit. In the future, as long as the market behavior can be regulated by the market itself and presents no harm to national security and the lives and property of citizens, those business bodies can apply for registration first. They will be allowed to engage in general business activities after getting a license. Such practices should be encouraged and supported.
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