Taizhou city unveils new fiscal and financial policies

Taizhou city – located in East China's Jiangsu province – held a press conference on May 17 to introduce new fiscal + financial policies aimed at enhancing its financing services and supporting local business.

Enhancing financing services

To address the urgent financing needs of small and micro enterprises or SMEs, as well as the agriculture and innovation sectors, Taizhou has introduced financial products such as an SME loan, environmental loan and government procurements loan.

In 2023, loan disbursements in the city hit 16.6 billion yuan ($2.29 billion), benefiting over 4,000 businesses. Notably, the Taixin Guarantee provided funding of 8.76 billion yuan, with nearly 70 percent of loans directed to manufacturing, boosting tax revenue growth for these companies.

Supporting industrial transformation

In 2023, Taizhou allocated 4.37 million yuan to 63 companies for innovation, covering interest subsidies and intellectual property financing.

Additionally, 5 million yuan was awarded to companies like Cwbio IT Group and Jiangsu Recbio Technology Co Ltd for listing their shares on the stock market, while 171 companies are organized to apply for and receive a total of 12.45 million yuan in provincial inclusive financial development special funds, including regional equity market listing rewards.

Innovative monetary policy tools

The People's Bank of China has introduced tools like the carbon emission reduction support measure and the inclusive pension special re-loan. Adding to that, the Taizhou branch developed local tools such as the Taitong Loan and the Taikang Loan, with a total loan book of 70 billion yuan and an interest rate of 1.75 percent. These tools aim to support sectors such as transportation, health, trade and technology.

Integrating capital, industry

To foster capital and industrial integration, Taizhou has implemented policies promoting high-quality equity investment and supporting company equity listings.

The policies aim to attract over 50 equity investment institutions managing funds exceeding 60 billion yuan by 2025. Key measures include grants of up to 10 million yuan for investments in local non-listed tech firms and up to 4 million yuan for companies achieving listings – reducing pre-listing costs and encouraging more businesses to go public.