China vows tougher regulation to address payment arrears to enterprises

China will strengthen regulation of government-funded projects to address payment arrears to enterprises, according to a new official guideline.

Relevant authorities should regularly verify the availability of government funds, intensify oversight of government procurement payments, and urge state-owned enterprises to standardize and optimize their payment management systems, said the guideline issued by the General Office of the Communist Party of China Central Committee and the General Office of the State Council.

Efforts should be made to establish a national platform for small and medium-sized enterprises to report related complaints, and optimize the punishment mechanism for acts of bad faith, said the guideline.

Addressing payment arrears to enterprises is vital to protecting businesses' rights and interests and boosting their confidence, according to the guideline. It urged all local governments to implement tailored measures based on their conditions and fulfill their responsibilities.