BEIJING, May 31 (Xinhua) -- China's policymakers have rolled out a raft of measures over the past week to shore up the economy and mitigate the impacts of the COVID-19 epidemic.

The following are the latest policies taken during the period:

-- Lower financing costs for enterprises

Chinese authorities unveiled a guideline to further reduce financing costs for enterprises, according to an official circular released on May 25.

Under the new guideline, banks should further cut fees and specify charges to lower the financial burden on enterprises. Practices such as forcing companies to deposit a part of their loans or make deposits as preconditions for credit, as well as bundle sales of financial products, will be strictly prohibited.

-- Support for air transport enterprises

China plans to provide financial support to Chinese and foreign air transport enterprises to enhance cargo transporting capacity and stabilize the global industry and supply chain amid the fight against the COVID-19 pandemic.

The financial support will be offered for the refitting of passenger aircraft into cargo flights authorized by Chinese civil affairs authorities, as well as airlines that fly cargos with passenger air routes in and out the Chinese mainland from April 1, according to the Ministry of Finance and the Civil Aviation Administration of China.

Some 80 percent of the aircraft refitting cost during the epidemic prevention and control period will be subsidized.

-- Efforts to stabilize employment

China will step up efforts this year to stabilize employment, which matters most to people's livelihoods, Premier Li Keqiang said on May 28.

Primary-level governments will be allowed to use funds to subsidize companies' rents and offer them subsidized loans, as part of efforts to keep businesses and employment stable, according to Li.

-- Deferring Income tax payment

China will defer income tax payments for small companies with thin profit margins, as well as individually-owned businesses, to help them resume business and production, said the State Taxation Administration (STA).

Small companies with thin profit margins are allowed to suspend payments of corporate income tax from May 1 to Dec. 31 this year until the first filing period in 2021, once they complete required filing procedures, according to an STA statement.

Individual business owners can delay payments of individual income tax incurred in the same period until the first filing period next year, the statement said. Enditem

Related

Go to Forum >>0 Comment(s)