Banking boost for sci-tech enterprises

Shanghai's banking sector has made constant efforts to improve their financial products and services to scientific and technological enterprises and has made major contributions to the city’s goal of becoming an international sci-tech innovation center, industry insiders said on Tuesday.

As of the end of June, the city had a total of seven sci-tech banking sub-branches, 90 sub-branches offering special services for tech firms and one agency specializing in such financial services. More than 1,000 professionals are dedicated to serving this special group of clients, said Wang Xiaodong, deputy director of the China Banking and Insurance Regulatory Commission's Shanghai bureau, at an event held by the Shanghai Banking Association.

In 2017, the local banking watchdog, together with the city's Science and Technology Commission, issued an action plan to support the city’s goal of becoming itself into an innovation center.

By the end of June, 6,973 sci-tech enterprises have had funding help from banks, an increase of 16.39 percent compared with the beginning of the year. Outstanding loans extended to these companies jumped by 7.74 percent to hit 261.1 billion yuan (US$37.2 billion) during the same period, Wang added.

Last August, the bureau signed a memorandum of cooperation with the science and technology commission and set up a mechanism to facilitate banks in seeking external help.

Under the memo, lenders can invite technological experts to participate in credit evaluation of sci-tech enterprises, provide relevant training and take part in pre-loan investigations.