Beijing, (Agencies): Private sector in China has emerged in a big way, generating more than 160 million jobs in the last five years. It has even aided some of the state-owned companies by absorbing about 8 million workers rendered jobless by them.

China's private sector has observed a rapid growth in the last five years with the numbers of individual business increasing to 40 million, providing jobs to over 160 million, according to China's State Administration for Industry & Commerce, (CSAIC) said.

Registering healthy growth during the 11th Five-Year period (2006-2010), private sector has also employed about 7.87 million workers laid off from state-owned or collective enterprises in the past five years, it said.

CSIAIC figures cited by the official Xinhua news agency said, the Individually-operated businesses top 34.07 million, involving 1.27 trillion yuan (USD 193.01 billion) of registered capital and 69.82 million employees.

A recent study shows that most of the China's private sector is comprised of small and medium enterprises, which were credited with converting China into a world factory, manufacturing virtually everything under the sun.

China's SMEs account for 99.60 per cent of the overall enterprises in the country thereby contributing to 68 per cent of the country's exports.

China's export growth is double its GDP growth and has created more SMEs in the last 20 years than the total number of SMEs in EU and US combined.

However, China's state-owned enterprises (SOEs) continued to lead, contributing about 1.81 trillion yuan (USD 271.92 billion) last year.

During the first 11 months, the SOEs paid a total of 2.23 trillion yuan in taxes from January to November, 21.4 per cent more than last year