China Improves Access to Credit for Small and Medium Enterprises
This paper is the third in a series of case studies of reforms undertaken by Doing Business 2009 top reformers.
After a record 14 years of consultation, China’s long awaited new Property Rights Law was finally passed on March 16, 2007. Referred to as “China’s next revolution” by The Economist, the law offered equal protection to socialist public property and private property, stated explicitly for the first time. This was a huge step in reforming secured lending and building a modern secured transactions system. These improvements helped China’s score on the Doing Business “Legal Rights” index climb to 6 out of 10 in 2008.
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