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Red Flag Commentary: Party Organization Must Play Imperative Role in SOE Reform

Guangming Daily published an article that Red Flag magazine originally carried. The article clarified the misunderstanding that the Party organization’s role in economic reform is not important. It stated that, during the latest round of SOE reform, it is imperative that the leadership of the Party organization in each SOE must be improved and strengthened. The article listed a number of reasons why the Party’s role is important. The Party’s leadership has served an important role in the economic growth of the country. Only under the Party’s leadership and in a stable political environment can the SOE grow within its market. The SOE bears the responsibility of safeguarding the nation’s economic security and public interest. The Party’s leadership will ensure that the SOEs are walking on the correct political path. The role that the Party leadership is not limited to safeguarding ideology; it also needs to be part of the senior leadership team that provides proper guidance to the development of the company during the reform. The article also named two CEOs as examples who serve as both the CEO of the company and the head of the Party organization. It said that the joint title confirms the newly established SOE reform policy which states that the the CEO of the company and the head of the Party organization can be the same person.

Source: Guangming Daily, September 18, 2016                                                                                                               http://theory.gmw.cn/2016-09/18/content_22014123.htm