OREANDA-NEWS. November 19, 2012. Since Fujian Provincial Government issued the Circular on Measures to Accelerate the Development of 100 billion Electric Machine and Appliance Industry Cluster in East Fujian in this May, Industrial Bank (IB) has actively responded to the call of the government, releasing a variety of supporting measures, including discounted interest rates and special loans to the Western Taiwan Straits Area, which lent strong support for the transformation and upgrading of the electric machine and appliance industry in East Fujian, reported the press-centre of Industrial Bank. 

As learnt by the reporter from IB Head Office, by the end of September 2012, IB Ningde Branch has supported 89 electric machine and appliance enterprises in total, with a credit balance reaching RMB 850 million, of which the balance of loans accounting for RMB 630 million. Meanwhile, IB Head Office has also granted RMB 300 million special loans for the Western Taiwan Straits Area to Ningde Branch in order to support the electric machine and appliance enterprises in East Fujian.

IB Ningde Branch indicates that, centering on the implementation of the special planning for the development of electric machine and appliance industry in East Fujian, it has kept intensifying its market positioning to serve the development of electric machine and appliance industry and taken it as its key area for credit extension to support the development of electric machine and appliance industry. The branch specifically lists electric machine and appliance enterprises as important partners to realize its own sustainable development, making great efforts to provide diversified and all-sided financial services to these enterprises.

In practical operation, especially the most straightforward pricing for loan interest rate, the interest rate for loans to electric machine and appliance enterprises by IB Ningde Branch is almost 10% lower than that for general loans. This reduces the financial cost of electric machine and appliance enterprises.

Additionally, closely surrounding the specific financial demands of electric machine and appliance enterprises, the branch also keeps pushing innovation ahead to improve the specialized, pertinent and applicable properties of financial service products. It actively develops the supply chain finance to both upstream and downstream enterprises of electric machine and appliance enterprise groups, providing a package of credit and financial services to leading electric machine and appliance enterprises such as industrial integration, overseas investment, merger and restructuring.

For instance, by way of merger loan, the branch builds the “IB Open Sesame SME IPO Program”, puts emphasis on promoting such innovative products as “IB enhancement loan” and “joint loan and joint guarantee”, and meets the individualized and all-sided financial demands of electric machine and appliance enterprises.

Moreover, the branch puts into use a relatively independent mechanism for reviewing financial service plans for electric machine and appliance enterprises and designs one-stop professional financial service solutions for customers in line with the different individual financing demands and business features. It provides valuable services while controlling risks to improve the customer satisfaction.

Meanwhile, it also implements credit-to-authorization system, authorizing the power to approve the full-value mortgage credit business with a corporate credit line remaining within RMB 8 million to its business outlets, so as to further shorten the approval process and improve the efficiency of services to electric machine and appliance enterprises.