In a bid to inject financial vitality into the economy, Wenzhou introduced a pioneering dual-score-based loan policy during the city's 2023 Private Entrepreneur Festival.
As a city leading pilot measures, Wenzhou has rolled out 224 reform measures, 75 of which have been particularly successful.
The newly added dual-score-based loan program will extend to all private enterprises in the city.
The program assesses an enterprise's health by a two-tier score evaluation system, focusing on five aspects: financial vitality, quality development, innovation drive, structural optimization, and risk prevention, along with 33 indicators. The results enable banks to offer tailored credit services to eligible enterprises, with up to five million yuan in credit available and discounts of up to 100 basis points on similar loans.
This initiative, initially piloted in Ruian in September, has already benefited 45 enterprises with a total loan of 137 million yuan ($18.72 million). 8,404 enterprises were pocketed on the list.
The city plans to reach the one-billion-yuan threshold in terms of balance of loans under the program by the end of 2023. By the end of 2024, the balance is expected to exceed five billion, further supporting the healthy growth of private businesses.
This innovative approach, in all, underscores Wenzhou's commitment to fostering entrepreneurship while nurturing a robust business environment.
