Xiao said that while requirements regarding fire control are important, the current requirements and restrictions are sometimes too complicated, and efforts in meeting such requirements may lead to delays in operations and a loss of business opportunities for private investors.
Wen Bin, chief economist at China Minsheng Bank, said given the fact that China is transforming to a more consumption-driven economy from one driven by investment and exports, steady growth in investment is still important, as it helps the economy to grow in a proper range, while steadiness in social investment helps to build positive expectations for the economy.
"Consumption contributed to about 64.6 percent of China's economy in the past year, and services have surpassed manufacturing in terms of contribution to growth, signaling that China is performing well in its supply-side structural reform. But investment still needs to be consolidated in maintaining steady economic growth, especially in areas of infrastructure and the real economy," Wen said.
There is still a huge potential to be tapped for PPP programs, Wen said.
There are about 12,000 PPP projects across the country, Wen said, but many such projects are not composed of high-quality assets from the government side, making them less attractive to private investors.
"Some PPP projects in areas such as irrigation and environmental protection may lead to long-term operations, slow payback and low profits, but they will bring goods and enhance people's livelihood in the long term," Wen said. "The government must use a variety of financing tools to encourage private investors to participate, while making them more inviting to social capital, large or small, to accelerate more of these projects."
In recent years, China has streamlined administrative reviews, focusing more on compliance oversight to make the business environment easier for private and foreign investors.
China's private investment grew at 7.7 percent for the first quarter in 2017, a 2 percentage-point increase compared with the same period last year.
Premier Li has stressed a number of times that investment plays a vital role in boosting demand and consolidating employment.
Since 2013, the number of projects requiring approval from the central government has reduced by 90 percent, while the time required from approval being granted has also been reduced by 90 percent in some places, according to government statistics.
The premier also said when meeting with a group of economists and entrepreneurs on Thursday that aggregate demand will be appropriately expanded while effective investment, especially private investment, should be boosted to enhance the driving force that domestic consumption has provided.
More policy and market regulation innovations are in the pipeline to create a fairer and more enhanced rule-based market environment, as decided at the executive meeting on July 5. The upcoming measures will create a level playing field for investors from home and abroad, boosting steady private investment growth, according to the meeting.
