Ever since China opened up to the world in 1980's, the Shanghai Municipal Government, led by the Communist Party of China and the State Council, makes great effort to build the city into an international economic, financial, trade and shipping center. With the cooperation and hardwork of Shanghai people, the city is progressing to its goal as a global metropolitan. The new team of leaders of the Shanghai government took office in February 2003. "The power of the government is entrusted by the people; the interest of people is above all," as Shanghai Mayor Han Zheng promise in his inaugural. Guided by the Shanghai Party Committee, the city's new leadership vows to strictly perform its official duties; to make significant progress in self-improvement, and to intensify the shift of its role from administrative to public service. The Shanghai government will build itself into a service government that would share with the people all their happiness and troubles; a solid responsible government that is efficient, honest and diligent; a law-abiding government that respects legal system and rules strictly and impartially.

Shanghai Segments Its Inquiry System for Credits into More Detailed Aspects, Almost All Enterprises in Shanghai Are Covered

10/29/2004

“"A person who has no credit cannot succeed and a nation which has not credit cannot develop." Aiming at the general objective, "to construct a social credit system facing to individuals and enterprises and covering all aspects in social economy and livings", Shanghai is advancing toward a creditable society. It is learned from Shanghai Credit Service Co., Ltd. on June 11 that until the end of this May, the number of people whose credit information had been recorded in the credit inquiry system had reached to 4.43 million, accounting for over 60% of the total number of credit consumers and the number of enterprises whose credit information had been recorded in the credit inquiry system had reached to nearly 600 thousand, almost covering all enterprises in Shanghai.

According to international experience, when the GDP per capita at a region reaches to 2000 dollars, simple credit-based market is realized; when the GDP per capita exceeds 5000 dollars, the market economy will enter the superior level, business mainly based on credit. If counted with average amount of residents in Shanghai, the GDP per capita in Shanghai exceeded 5000 dollars in last year.

Since this year, Shanghai has accelerated its construction of social credit system. As the main parameter to the credit in contract abidance, Shanghai industry and commerce authorities further strengthens the construction of "Credit Assessment System for Enterprises' Contract Abidance", quantitatively assessing 60 indices in 4 aspects, contract management level, fulfillment ability, fulfillment status and social credit, as per international conventions, disclosing the assessment results to the public through government release or third party notarization, so as to make "credit" an essential premise for enterprises to conduct business. Tax authorities will adopt rank management based on the tax payment of enterprises and governmental institutes. In the latest round of tax ranking, 823 former Rank B enterprises were upgraded to Rank A and 405 former Rank A enterprises were degraded to Rank B. All districts and counties are also pay much attention to the construction of credit system. For example, Yangpu District stipulates that pharmaceuticals stores, agricultural products markets and public bathrooms must submit credit report in annual inspections and if the report is with serious stain in credit, the manager will be replaced.

It is the gradual efforts that improve Shanghai's comprehensive inquiry systems for credits. As the existing biggest associated inquiry system for individuals' credits in China, Shanghai Credit Service Co., ltd. has established cooperative relationship with all domestic-invested banks, 6 foreign-invested banks, non-bank financial institutes, mobile communication industry ad utility suppliers. The inquiry system for credits is not only the indicator of the construction of social credit system, but also creates a favorable environment for the healthy growth of economy. At present, Shanghai Associated Inquiry System for Credits has set 570 inquiry outlets in Shanghai, issued over 1.8 million credit reports and recorded an average inquiry amount of 5000. The credit "blind area", a former headache of financial institutes, is also solved through this system.
The Shanghai government 2006