Private economy's rapid growth in China

Zhou Xiaoguang is lucky to have worked her way up from almost nothing to be a billionaire. She owns the world's largest fashion jewelry company. She began her legendary rise as a vendor at the age of 17, selling embroidered goods across the country.

Zhou Xiaoguang, Chairwoman of Neoglory Holdings Group said "My initial thought was simple - to keep my stomach full and take care of my family. The government's policy gave me the chance to achieve more than just that. With the money I saved during the first 8 years of peddling, I started a costume jewelry company in 1986."

Zhou Xiaoguang now employs more than 4 thousand people. She is just one example of the many entrepreneurs who have thrived, benefiting from the policy change in 1978. Before then private business was considered capitalism and was prohibited.

Party leaders began re-examining the structure of ownership in 1978. And four years later, the reform policy progressed with an important change in the Chinese Constitution. And the non-public sector has thrived at an ever faster speed with this support.

Du Xiaoshan, Professor of Chinese Academy of Social Sciences said "The private sector was initially recognized as a "complement to the state-owned economy". Now it is an "important component of the socialist market economy", the change has been immense. As the opening and reform policies continue, the private sector will only become more important in China's economy."

The non-public sector has gone from being worth nothing to 19 trillion yuan in 2008, contributing 65 percent of the country's GDP. It also accounts for 75 percent of national employment, and around half of the country's tax revenue. These figures are something nobody expected 60 years ago.