Beijing is set to provide financial support for equipment purchases and upgrades in key industries, according to a draft plan released by the Beijing Municipal Commission of Development and Reform for public feedback. The plan will leverage the city's fixed asset investment to provide financial support.

The "Implementation Plan for Further Increasing the Loan Interest Subsidy for Equipment Purchase and Upgrading in Key Areas" targets 34 sub-sectors across eight major areas. These industries include traditional fields of scientific and technological innovation, as well as emerging sectors like robotics, the metaverse, and regenerative medicine.

The plan builds upon the success of a 2022 trial program that offered loan interest subsidies for equipment purchases and upgrades.

"To enhance the program's effectiveness, we analyzed the trial plan's implementation," explained an official from the Beijing Municipal Commission of Development and Reform. "We've incorporated the latest national and municipal-level requirements, proposed policy optimizations, and gathered feedback from all districts, relevant departments, enterprises, and financial institutions. This comprehensive approach shaped the current draft for comments."

The plan applies to equipment purchases and upgrading initiated after Dec. 1, 2023, that qualify as fixed asset investments. Banks will select projects adhering to policy regulations and credit approval standards, then sign and disburse loans. Qualifying projects will receive a 2.5 percentage point interest subsidy for two years.

Related

Go to Forum >>0 Comment(s)