The Operations Office of the People's Bank of China and the Administrative Committee of Zhongguancun Science Park jointly launched the "Chuang Xin Rong (innovation, credit and financing)" Enterprise Financing Comprehensive Credit Service Platform at the 2020 ZGC Forum on Sept 18, with the aim of promoting the development of small and micro enterprises, technology innovation and entrepreneurship.

The "Chuang Xin Rong" Enterprise Financing Comprehensive Credit Service Platform is the first such platform to integrate financial management big data, financial technology, and government policy support.

The Platform will first carry out a pilot project in the Zhongguancun. It will promote financial infrastructure construction, improve the financial service capabilities of commercial banks for small and micro enterprises, increase the loan approval rate, and lower the interest rate and the ratio of non-performing loans.

The "Chuang Xin Rong" platform is aimed at promoting the development of small and micro enterprises, technology innovation and entrepreneurship.[Photo provided to chinadaily.com.cn]

The platform has the following features:

Issue unsecured loans to adapt to the asset-light strategy of small and micro enterprises;

Handle loan applications online to help identify risks for commercial banks.

Use big data to solve the asymmetry of financing information.

Adopt "government +" mode to promote innovation.

The Operations Office of the People's Bank of China will provide zero-interest funding support (at a ratio of 40%) for eligible banks that issue inclusive loans for small and micro enterprises, and give 1% of the capital to the banks who allow delayed repayment of capital.

The Zhongguancun Administrative Committee will provide interest subsidies (at a ratio of 40%) to eligible enterprises, with the maximum annual subsidy for a single enterprise to be 500,000 yuan; it will also provide risk subsidies (at 1% of the annual business income) to banks, with the maximum annual subsidy for a single bank to be 5 million yuan.

In addition, it will issue policies in terms of risk compensation and data sharing.

Since the beginning of this year, the Operations Office of the People's Bank of China has provided approximately 94.5 billion yuan to financial institutions within its jurisdiction through various monetary policy tools to support epidemic prevention and control and strengthen financial services for small, medium and micro enterprises. It is expected that the annual financial support will reach 120 billion yuan.

The Industrial and Commercial Bank of China Beijing Branch, China Construction Bank Beijing Branch, and Zhongguancun Bank have launched exclusive products for small and micro enterprises on the platform, and have approved 22 loans with an amount of 15.43 million yuan.

According to estimates, more than 10 billion yuan of loans will be released to small and micro enterprises and scientific and technological innovation enterprises. 

Poster of the "Chuang Xin Rong" platform [Photo provided to chinadaily.com.cn]

Official website of the "Chuang Xin Rong" platform [Photo provided to chinadaily.com.cn]

Poster of the "Chuang Xin Rong" platform [Photo provided to chinadaily.com.cn]