In an effort to give its financial leasing companies a competitive advantage, Guangzhou will offer subsidies to those companies which have been settled in the city for at least one year; it was announced recently.

There are three types of companies that can apply for the subsidy, they are foreign-invested financial leasing companies, domestic capital pilot financial leasing companies and financial leasing companies. All of which should be registered in Guangzhou and have independent legal qualifications.

The government will offer a 10 million yuan ($1.5 million) subsidy for companies with registered capital or added capital of 2 billion yuan. It will offer 5 million yuan for companies with registered capital or added capital of 1 billion yuan, and a 2 million yuan subsidy for companies with registered capital or added capital between 500 million yuan and 1 billion yuan.

For financial leasing companies operating aircraft and ship leasing projects between Jan 1 2016 and July 31 2017, the government will offer a subsidy of no more than 0.5 percent of the contract total, with a subsidy ceiling of 500,000 yuan.

For financial leasing companies buying equipment made by Guangzhou-based companies for leasing or providing financial leasing services for Guangzhou-based companies, the government will offer a subsidy of no more than 0.5 percent of the contract total, with a subsidy ceiling of 5 million yuan.