In response to the needs of businesses and companies resuming their operations and production in the wake of the novel coronavirus outbreak, the government of Ulanqab -- in North China’s Inner Mongolia autonomous region -- is implementing business incentives at the municipal level to boost the development of local business, according to officials.

The newly launched policies involve fast tracking corporate loans, simplified approval procedures to return to operations -- as well as cuts to social insurance and unemployment insurance fees paid by small and medium-sized enterprises for their employees.

Ulanqab issued the "Seven Specific Measures for Supporting Small and Medium-sized Enterprises in Ulanqab" policy to resolve production and operational difficulties such as pressures on cash flow, loan cut-offs and shortages of epidemic prevention materials faced by local enterprises.

At present, it has provided a total of 12 million yuan ($1.70 million) of renewed loan funds for seven enterprises, issued more than 3,000 materials transport passes and provided more than 30 metric tons of disinfectant powder and 220,000 disposable medical masks.

Insured companies that did not lay off employees, or laid off fewer employees, will be reimbursed 50 percent of the unemployment insurance premiums they actually paid in the previous year.

For insured micro and small-sized enterprises that are suffering from temporary production and operational difficulties, while insisting on no layoffs or fewer layoffs, the government will return 50 percent of the six-month social insurance premiums paid by the enterprises and employees in the previous year.
Meanwhile, an online fast track channel for benefit declarations to avoid unnecessary personal contact was recently opened.

To date, 77 enterprises have had reduced social insurance premiums in Ulanqab for schemes benefiting 13,234 employees, with 52.97 million yuan in funds returned.

In addition to the preferential policies to stimulate a corporate return to work, Ulanqab has launched 14 measures to streamline the resumption procedures.

At present, 231 manufacturers above a designated size in Ulanqab – those with annual sales of 20 million yuan ($2.8 million) or more – have restarted their operations. Excluding seasonally suspended enterprises, the resumption rate has reached 96.5 percent, officials said.

The number of on-duty workers is currently at 45,000, reaching 86.5 percent of the total workforce.

In addition, the city's 14 large shopping malls, 31 large supermarkets, 20 brand chain convenience stores, 55 catering and accommodation businesses above a designated size,19 foreign-invested companies and 73 firms conducting foreign trade have all resumed production.

Officials said nearly 70 percent of businesses undertaking food processing and grain and oil wholesale operations have resumed operations.