Editor's notes: In mid-January, the All-China Federation of Industry and Commerce published a report on the development of the country's private sector during the past year and the difficulties and challenges it faces. Excerpts from the report follow:

China's private sector has shown strong vigor during the past year, contributing considerably to the country's goal of maintaining steady and relatively fast-paced economic development amid the complicated internal and external economic conditions.

The sector has seen tangible growth. Statistics show that by the end of the third quarter of 2011, the number of registered private enterprises in the country was more than 9 million, a year-on-year increase of 14.9 percent. Their registered funds were almost 25 trillion yuan ($3.96 trillion), an increase of 38.6 percent.