A new session of the National People's Congress Standing Committee opened in Beijing over the weekend.

China's top legislators are deliberating a draft property rights law, which aims to clarify and secure ownership rights.

This is the third time the NPC Standing Committee has discussed the draft law on property rights. The new legislation is designed to clarify entitlement to property and better protect owners.

Dou Shuhua, NPC Standing Committee Member, said, "This law is of great importance to the country and also every citizen. The latest amendment to the constitution says the nation protects all legal private property, but we've had no specific law to support this amendment."

The proposed property law aims to fill this gap. According to the current draft, the nation is the owner of all public property. The loss of such state assets via illegal sale or transfer will be punished. These stipulations are vital as the public sector undergoes reforms.

Feng Changgen, NPC Standing Committee Member, said, "Protection of state-owned property is in the interests of both the nation and the people. It has a direct bearing on our basic economic system as we establish a socialist market economy. It is vital for us to adopt legal means to prevent the loss of state property."

But the draft law does not put public ownership above private. It aims to give equal protection to the private property of individuals and corporations. As such, experts expect the law will stimulate investment in the private sector.

Clarifying ownership and resolving disputes over properties is the most important function of the law on property rights. The nation's pledge to protect both the state-owned and private properties will be translated into concrete legal terms if the draft law goes through next year.

(CCTV.com June 27, 2005)