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Premier Li Keqiang promotes unified credit code system

Updated: Jun 5,2015 11:10 AM

Premier Li Keqiang inquired again about integrating “three certificates into one” during an executive meeting on June 4.

The Premier gave instructions two months ago that the three certificates, the business license, the certificate of organization codes, and the certificate of taxation registration, be integrated into a unified credit code system for corporations and other organizations this year.

Li said the building of a unified credit code system for corporations and other organizations would improve public management by cutting transaction costs and doubling efficiency.

The Premier asked three questions during the meeting, concerning technical issues, implementation and financing the upgrade.

In regards of technical issues, he was informed that specialists involved made it clear that the three certificates could be unified into one.

Learning that a Legal Entity Identifier (LEI) code was needed for corporations to conduct international financial transactions, Li ordered that the new code should be the only reference for the LEI.

On implementation, Li asked what difficulties they were facing when he read that “reforms could be postponed in areas facing special difficulties”.

An official elaborated that some certificates were valid for a long period of time, so the former “three certificates” and the “new unified code’ could be used at the same time if entrepreneurs did not update their certificates.

But the new code will take effect immediately even if the former certificates have not expired, the official added.

In terms of financing it, it was emphasized that the certificate will be free for newly registered organizations while for established organizations the old certificates will still remain valid before their expiration date but new codes should be arranged before 2017.

The Premier stressed the importance of informing the public it is free as it facilitates people’s lives.