May 26 2022

Guangdong Steps up Financial Support for Covid-affected Sectors

Announcement by People's Government of Guangdong Province

The People's Government of Guangdong Province released on April 28, 2022 the Action Plan of Guangdong Province on Stepping up Financial Support for Covid-affected Enterprises to Overcome Difficulties and Keeping Stable Economic Performance.

The Plan called for increasing financial support for Covid-affected sectors, urging financial institutions to support those sectors and micro, small and medium-sized enterprises (MSMEs) by cutting the required reserve ratios. It proposed that local competent departments in charge of accommodation, catering, wholesale and retail, cultural tourism, civil aviation, highway, waterway and railway transport should send a list of enterprises in difficulties to local financial regulators so that they can get more credit support from banks. For those micro and small businesses applying for loans with local corporate financial institutions for the first time from April 1 to June 30, 2022 by relying on the financing platform for SMEs in Guangdong, subsidies on interest payment would be offered at a percentage of no more than 1% for the balance of any single business that does not exceed 10 million yuan.

Official Notice: http://www.gd.gov.cn/zwgk/wjk/qbwj/yfb/content/post_3921023.html