I. Targeted enterprises

(1) The micro-, small and medium-sized enterprises (MSMEs) that are registered in Beijing and apply on-site for their first-time loans at the Beijing Loan Service Center.

The "MSMEs" here refer to those existing micro-, small and medium-sized enterprises registered in Beijing, with independent legal personality and no severe dishonest behaviors recorded at the Beijing Municipal Public Information Service Platform.

An "initial loan" here refers to the loan an enterprise gets from a banking financial institution for the first time. A loan can only be determined as a first-time loan when the enterprise's amount of either medium- and long-term borrowing or short-term borrowing is zero, as listed on the enterprise's credit reference report provided by the Credit Reference System of the People's Bank of China.

(2) The following loan businesses are not covered: loans incurred by legal representatives or shareholders of enterprises in their personal names; loans from real estate companies; loans from financing platform companies and loans from non-productive fixed-asset investment projects.

II. Ways of Support

The support includes subsidies for interests of bank loans and subsidies for guarantee fees, where enterprises can choose either of them. The aforementioned two ways of support do not apply to the initial loan operations that have already received other similar types of municipal financial support.

III. Scope of Support

(1) Loan operations that are registered on-site at the Beijing Loan Service Center, for which the enterprise signed a contract with the bank in 2021 and the actual lending was made after January 1, 2022; and those for which the enterprise signed a contract with the bank and the actual lending was made after January 1, 2022. The amount of each loan shall not exceed CNY 20 million.

A total of 22 banks and 17 governmental financing guarantee institutions have their services provided on-site at the Beijing Loan Service Center.

(2) For the initial loan operations that occurred between January 1 2022 and the release date of the Implementing Rules of Beijing Municipality on Subsidies for Interest and Guarantee on MSMEs’ Initial Loans (the Rules), if not registered on-site, enterprises may make additional registration and be included in the scope of support under the Rules.

(3) For the initial loan operations registered on-site, for which the enterprise signed a contract with the bank in 2021 and the actual lending was made after January 1, 2022, the corresponding banks and guarantee institutions will be included in the scope of support under the Rules after they have completed their information and submitted the summary statements on time at the Comprehensive Service Platform of Beijing Loan Service Center.

IV. Standards of Support

(1) Standard of the subsidies for interest: A subsidy of 20 percent of the interest generated by the actual loan obtained shall be given to enterprises with a term not exceeding one year. Interest paid during the overdue or extension period will not be discounted.

(2) For enterprises in catering, retail, tourism, civil aviation, and road and rail transportation industries identified by the industries' competent authorities, the subsidy rate is 40 percent for the initial loan operations registered, contracted and released on-site at the Beijing Loan Service Center from January 1, 2022 to December 31, 2022.

Enterprises in catering, retail, tourism, civil aviation, and road and rail transportation industries do not need to apply for certification themselves as it shall be determined by the industries' competent authorities.

(3) Method to provide the subsidies for interests: The interest shall be paid first and then the enterprise shall be subsidized. Subsidies shall be given to enterprises quarterly in accordance with the actual interest generated.

V. Standards of Guarantee Fee Subsidy Expenditures

(1) Standards of subsidies: In the case of the initial loan released for one year or released for less than one year and all repaid, a loan guarantee fee subsidy with an annualized rate of one percent shall be given according to the actual lending loan and the actual guarantee period. For those with a guarantee fee rate less than an annualized rate of one percent, a loan guarantee fee subsidy shall be given according to the actual rate with the maximum subsidy period of one year.

(2) Method to provide the guarantee fee subsidies: In the case of the initial loan released for one year or released for less than one year and all repaid, a one-off subsidy shall be given in accordance with the subsidy standards covered by the Rules.

Ⅵ. Process for Enterprise Application

Enterprises need to register for the initial loan operation on-site at the Beijing Loan Service Center, sign a letter of authorization, a letter of commitment and a letter of notification, and choose the intended bank and the way of initial loan subsidy. After the completion of the loan review and loan release, the branch of the concerned bank or guarantee institution at the Beijing Loan Service Center shall submit the information about the enterprise and the loan to the Comprehensive Service Platform of Beijing Loan Service Center. For eligible loan operations, the subsidies shall be directly allocated to the enterprises' accounts.