Recently, the Changchun Central Sub-branch of the People's Bank of China issued a guideline jointly with the Jilin Bureau of the China Banking and Insurance Regulatory Commission, the Provincial Development and Reform Commission, the Provincial Industry and Information Technology Department, the Provincial Finance Department, the Provincial Market Supervision and Management Department, the Jilin Bureau of the China Securities Regulatory Commission and the Provincial Local Financial Supervision and Administration Bureau to keep businesses and employment stable as well as to further carry out financial services for micro, small and medium enterprises (MSMEs) in a solid and meticulous manner. The guideline put forward 40 measures in six categories.
In terms of increasing credit supply to MSMEs, the guideline said that the proportion of newly issued credit loans should be significantly higher, the pressure on capital turnover of enterprises in key areas should be quickly eased, the role of guaranteed loans for startups should be given full play in stabilizing employment and supporting startups, the connection among governments, banks and enterprises should be carried out in an efficient and orderly manner, the function of the financing application system for small and micro enterprises in Jilin province should be effectively played, and the credit product and model should be innovated and deepened for MSMEs.
In terms of making full use of the monetary policy, the guideline called for efforts to make good use of the inclusive loan extension support tools and the inclusive credit loan support plan for small and micro enterprises, to deepen the implementation of targeted RRR cuts, to strengthen the countercyclical adjustment of Macro Prudential Assessment system and to fully play the role of the reform of loan prime rate.
In terms of implementing the financial regulatory policy, the guideline stressed the need to apply financial technology to empower financial services for small and micro enterprises, to optimize the external incentives of financial regulatory policies, to improve the performance assessment system of financial enterprises and to overhaul excessive and unauthorized financing charges and fees.
The guideline also put forward specific suggestions to improve the supporting policies for credit, to expand the channels of financing and to enhance the quality and efficiency of financial services, aimed at pushing the effective transmission and implementation of financial supportive policies, effectively dealing with the adverse impact of the epidemic on MSMEs, promoting the return of normal production and operation order of the MSMEs across the province and supporting the quality growth of the real economy.
