Lates News

The Ministry of Finance issues a notice on the implementation of the Special Guarantee Plan for Private Investment. It mentions that the credit guarantee limit will be increased. For loans under this plan, the credit guarantee limit per borrower should not exceed 20 million RMB. For high-quality private investment projects that meet national strategic requirements and belong to key areas, cooperation institutions are encouraged to increase support within the guarantee limit under the premise of controllable risk. The compensation limit will be appropriately increased. To enhance the tolerance for risk in medium and long-term loans for private investment in small and micro-enterprises supported by government financing guarantees, the maximum compensation rate for this business will be raised from 4% to 5%. It is allowed to use the fixed assets formed by the corresponding guarantee loan funds as additional collateral.