East China’s Jiangsu province has taken the initiative to implement the government's policies and decisions, continue to promote the cultivation of small giant enterprises, boost the development of small and medium-sized enterprises to the mid-to-high end of the industrial chain, and accumulate new potential for development.
Xuzhou-based Yongkang Electronic Technology Co., Ltd., which specializes in the production of medical electronic equipment, recently received a large order from overseas. However, the company suffered from insufficient liquidity, and at the same time, rising raw material prices in the market made it impossible to increase production capacity.
The industry and information department in Xuzhou immediately helped the company negotiate with financial institutions and received a 10 million yuan financial loan in less than a month.
Gao Yunying, Chief Financial Officer of Xuzhou Yongkang Electronic Technology Co., Ltd., said that a credit loan did not require any collateral, otherwise, when private enterprises apply for mortgage loans, the interest rate must rise by at least 30%, and now they can get the benchmark interest rate of LPR, which greatly reduced the financing cost.
Jiangsu has included the cultivation of small giant enterprises into the provincial government’s annual key task this year.
Jiangsu has provided funds and subsidies, and formulated the "Administrative Measures for the "White List" Database of High-quality Small and Medium-sized Enterprises in Jiangsu Province" to encourage financial institutions to create exclusive financial services and financial products for little giant enterprises, and provided sufficient financial support for the high-quality enterprises.
Jiangsu has strengthened the guidance and support for small and medium-sized enterprises by improving enterprise management, accelerating digital empowerment, and promoting green and low-carbon development.
In early March, Wuxi's first Little Giant Enterprise Service Center was inaugurated in Wuxi High-tech Zone to provide all-round support for further cultivating and expanding small and medium-sized technology-based enterprises.
Wuxi High-tech Zone registers 189 little giant enterprises. The service center will support these enterprises in terms of funds, policies and services to further enhance regional innovation capabilities and comprehensive competitiveness.
Jin Xiaozhong, Deputy Director of the Bureau of Industry and Information Technology of Xinwu District, Wuxi City, introduced that the high-tech zone will award 1 million yuan to national-level manufacturing champion enterprises, 300 thousand yuan to national-level little giant enterprises, 200 thousand yuan to provincial little giant enterprises, and 100 thousand yuan to municipal little giant enterprises.
The center will continue to develop a series of policies specializing in new development to encourage them for further development.
Jiangsu has included in the little giant enterprise database 13 thousand small and medium-sized enterprises with core technology, high level of specialization, strong innovation ability, distinctive product and service characteristics, and good growth potential.
Data show that Jiangsu's small giant companies reported a year-on-year increase of more than 15% in operating income and profit.
Jiangsu will cultivate more than 600 small giant enterprises this year, bringing the total number in the province to 2,600 so as to provide stronger impetus for the province’s high-quality economic development.
