MINISTRY OF COMMERCE PEOPLE'S REPUBLIC OF CHINA
MINISTRY OF COMMERCEOpinions of the MOFCOM and the Export-Import Bank of China on Financial Support for Development of Trade in Services during the “Twelfth Five-year Plan” Period
[Released by]: the Ministry of Commerce of the People’s Republic of China and the Export-Import Bank of China
[Announcement No.]: Shang Fu Mao Fa [2012] No. 86
[Date of Issuance]: March 26, 2012
The Competent Departments of Commerce of All the Provinces, Autonomous Regions, Municipalities Directly under the Central Government, Municipalities with Independent Planning Status and Xinjiang Production and Construction Corps as well as all the Branches of the Export-Import Bank of China:
In order to implement the Twelfth Five-year Plan for National Economic and Social Development and the “Twelfth Five-year Plan” for Development of Trade in Services (Shang Fu Mao Fa [2011] No. 340), strive to develop the trade in services, accelerate the transformation of foreign trade development modes, increase the strength of financial support to China’s trade in services, support and cultivate a number of key enterprises and projects of trade in services with international competitiveness, and promote the healthy and rapid development of China’s trade in services, it is hereby to propose the following opinions on taking advantages of finance to support the development of trade in services during the “Twelfth Five-year Plan” period:
I. Guiding Ideology
Give full play to the leverage of finance in promoting the development of trade in services, expand the service import of key industries, accelerate the “going out” pace of enterprises of trade in services, advance the innovation in the areas of trade in services and promote the healthy and rapid development of trade in services with Deng Xiaoping Theory and “Three Represents” as the guidance, supporting the key development areas of trade in services as the orientation and supporting the key enterprises as well as projects in the areas of trade in services as the means in accordance with the requirements of scientific outlook on development.
II. Basic Principles
Ministry of Commerce and the Export-Import Bank of China (hereinafter referred to as “China Eximbank”) will give full play to the policy advantages and organization advantages of the Ministry of Commerce and the local competent departments of commerce as well as the market advantages and capital advantages of the headquarter of China Eximbank and the operating agencies in accordance with the principles of “organization and recommendation by departments, independent loan approval by the bank” to jointly build the cooperation platform for the support of finance to the development of trade in services, and comprehensively support the development of trade in services.
III. Major Tasks
During the “Twelfth Five-year Plan” period, Ministry of Commerce and China Eximbank will use the financial means to energetically support the 30 key development areas of trade in services specifically proposed under the “Twelfth Five-year Plan” for Development of Trade in Services, consolidate China’s traditional areas with comparative advantages, cultivate the emerging areas which meet the development trend of international trade in services and support the key areas with high content of technology, high added value, strong innovation and relatively large radiated driving role which lead the development of trade in services.
(I) Accelerate the promotion of developing R&D design, intellectual property, inspection and testing, transformation of scientific and technological achievements, e-commerce, biotechnologies and other trade in high-tech services, and focus on cultivating communications, finance, accounting, media, consulting, technology, international freight forwarding, exhibition, software and other modern service industries with high added value.
(II) Actively promote the development of Chinese food, traditional Chinese medicine, education, sports, culture and arts, broadcasting, film and television, press and publishing, animation, online games and other trade in services with Chinese characteristics, expand the overseas marketing channels and actively explore the international market.
(III) Continue to consolidate the development of transportation, tourism, construction, foreign contracted projects, labor cooperation and other traditional trade in services with scale advantages, promote enterprises to carry out overseas investment activities, support the direct investment and localized operation of enterprises of trade in services in developing countries, and actively develop the relevant markets in developed countries.
(IV) Accelerate the development of service outsourcing, encourage the development of information technology outsourcing, business process outsourcing and knowledge process outsourcing with high content of knowledge, high added value and strong innovation, consolidate and advance the service outsourcing in software, information and telecommunication infrastructures, finance, communications, pharmaceutical R&D and other areas, focus on breaking through the service outsourcing in cultural and creative industry, manufacturing industry, commercial services, logistics and other areas, and actively cultivate the service outsourcing in medical treatment, public services, education, distribution and other areas.
(V) Put emphasis on promoting the trade in services which matches energy conservation and environmental protection, new energy, biotechnology, high-end equipment manufacturing, new materials, new energy vehicles and other strategic emerging industries, promote the upgrading of industrial structures and cultivate the cluster of competitive industries.
IV. Types of Support
(I) Export enterprises and projects. Focus on supporting the export enterprises and projects in the key development areas of trade in services.
(II) Import enterprises and projects, including technological transformation and renovation projects which are carried out for the promotion of technological updating by enterprises of trade in services and import projects of key technologies and major equipment.
(III) Fixed asset investment projects. Domestic infrastructure construction projects implemented to enhance the level and quality of domestic service industry and improve China’s competitive advantages of trade in services as well as platform and demonstration projects which can drive the rapid development of trade in services.
(IV) Others. Other enterprises and projects of trade in services which are highly recommended by the competent departments of commerce and comply with the credit policies of China Eximbank.
V. Support Means
(1) Develop credit products. China Eximbank will positively develop innovative financial products and services for the development of trade in services in line with the principle of independent loan approval on the basis of actively using the launched transaction platform construction loans for trade in services, construction loans for international logistic infrastructure, business loans for international logistic transportation services, export credit for cultural products and services (including animation), loans for tourist culture internationalization, construction loans for international exhibition service facilities, overseas investment loans, seller’s credit on export for high-tech products (including software), import credit, loans for foreign contracted projects, export base construction loans and other credit products.
(II) Explore intermediate business. China Eximbank will actively provide enterprises with intermediate business services including international settlement, foreign exchange settlement, trade financing, external guarantee and bond underwriting, promote the Rinminbi settlement and financing of trade in services, and take the initiative to offer country risk management, exchange rate risk aversion and other consulting services to enterprises based on the risks confronted by enterprises of trade in services while “going out” so as to achieve safe and effective configuration for the funds of enterprises.
(III) Innovate the ways of guarantee. China Eximbank will actively explore equity, stocks, bonds, inventory, warehouse receipts, insurance policies, export tax rebates, account receivables, intellectual property pledge, third-party guarantee provided by professional guarantee agencies and other combined ways of guarantee on the premises of risk prevention, positively build the financing platform for enterprises of trade in services, especially small and medium-sized enterprises of trade in services, and improve the financial guarantee ability of enterprises of trade in services.
(IV) Perfect the supporting services. China Eximbank will seriously study the government policies related to development of trade in services, release credit policies of trade in services in a timely manner, optimize the loan approval process under the condition of controlled risks, improve the efficiency of loan approval, further strengthen the input of labor, information, statistics, accounting, technology and other resources, and strive to build the support system with the whole bank supporting the development of trade in services.
VI. Supporting Measures
(I) Establish coordination and leading mechanism. Ministry of Commerce and China Eximbank will establish the coordination and leading group for the support of finance to development of trade in services (hereinafter referred to as the “coordination and leading group”). Relevant principals from Ministry of Commerce and China Eximbank will jointly hold the posts of group leaders to comprehensively take charge of the work related to the support of finance to trade in services. General office is established under the coordination and leading group, and it is formed by Department of Trade in Services and Commercial Services in Ministry of Commerce as well as Business Development and Innovation Department in China Eximbank to undertake the detailed work of coordination and leading group. Local competent departments of commerce and branches of China Eximbank shall strengthen the communication and coordination, study the related supporting policy measures, cooperate with the implementation of relevant work arrangement, and create favorable policy environment for the development of trade in services through government-bank interaction, vertical linkage and other modes to integrate all the competitive resources.
(II) Organize the recommendation of enterprises and projects. Ministry of Commerce and China Eximbank will establish the enterprise and project recommendation mechanism of “project selection by local competent departments of commerce together with branches of China Eximbank – report by local competent departments of commerce – review and recommendation by Ministry of Commerce – independent loan approval by China Eximbank”. Local competent departments of commerce shall report enterprises and projects which have certain scale, relatively strong international competitiveness as well as relatively outstanding economic and social benefits to Ministry of commerce on a regular basis jointly with relevant branches of China Eximbank. Ministry of Commerce will organize experts to review the reported enterprises and projects, and provide the recommendation lists of key enterprises and projects of trade in services to China Eximbank on a regular basis. For the government investment projects recommended, all the operating agencies of China Eximbank shall give priority support.
(III) Strengthen information sharing. Competent departments of commerce at all levels and all the operating agencies of China Eximbank will strengthen the exchange and cooperation in industry policy, development planning, country risk, international market information, enterprise and project information as well as other aspects, study and carry out information collection, sorting and statistical work, strengthen the information base construction of enterprises and projects of trade in services, and jointly carry out special investigation and topic research as well as other work.
(IV) Carry out integrity building. Local competent departments of commerce will cooperate with China Eximbank to complete the pre-loan investigation, feasibility study, evaluation, argumentation, loan approval and after-loan management, practically improve the financing ability of enterprises of trade in services and assist the enterprises to solve the financial difficulties during the development.
Please earnestly study and actively implement the opinions. For specific issues, please contact the Ministry of Commerce (the Department of Trade in Services and Commercial Services) and China Eximbank (Business Development and Innovation Department).
(All information published in this website is authentic in Chinese. English is provided for reference only. )
[Announcement No.]: Shang Fu Mao Fa [2012] No. 86
[Date of Issuance]: March 26, 2012
The Competent Departments of Commerce of All the Provinces, Autonomous Regions, Municipalities Directly under the Central Government, Municipalities with Independent Planning Status and Xinjiang Production and Construction Corps as well as all the Branches of the Export-Import Bank of China:
In order to implement the Twelfth Five-year Plan for National Economic and Social Development and the “Twelfth Five-year Plan” for Development of Trade in Services (Shang Fu Mao Fa [2011] No. 340), strive to develop the trade in services, accelerate the transformation of foreign trade development modes, increase the strength of financial support to China’s trade in services, support and cultivate a number of key enterprises and projects of trade in services with international competitiveness, and promote the healthy and rapid development of China’s trade in services, it is hereby to propose the following opinions on taking advantages of finance to support the development of trade in services during the “Twelfth Five-year Plan” period:
I. Guiding Ideology
Give full play to the leverage of finance in promoting the development of trade in services, expand the service import of key industries, accelerate the “going out” pace of enterprises of trade in services, advance the innovation in the areas of trade in services and promote the healthy and rapid development of trade in services with Deng Xiaoping Theory and “Three Represents” as the guidance, supporting the key development areas of trade in services as the orientation and supporting the key enterprises as well as projects in the areas of trade in services as the means in accordance with the requirements of scientific outlook on development.
II. Basic Principles
Ministry of Commerce and the Export-Import Bank of China (hereinafter referred to as “China Eximbank”) will give full play to the policy advantages and organization advantages of the Ministry of Commerce and the local competent departments of commerce as well as the market advantages and capital advantages of the headquarter of China Eximbank and the operating agencies in accordance with the principles of “organization and recommendation by departments, independent loan approval by the bank” to jointly build the cooperation platform for the support of finance to the development of trade in services, and comprehensively support the development of trade in services.
III. Major Tasks
During the “Twelfth Five-year Plan” period, Ministry of Commerce and China Eximbank will use the financial means to energetically support the 30 key development areas of trade in services specifically proposed under the “Twelfth Five-year Plan” for Development of Trade in Services, consolidate China’s traditional areas with comparative advantages, cultivate the emerging areas which meet the development trend of international trade in services and support the key areas with high content of technology, high added value, strong innovation and relatively large radiated driving role which lead the development of trade in services.
(I) Accelerate the promotion of developing R&D design, intellectual property, inspection and testing, transformation of scientific and technological achievements, e-commerce, biotechnologies and other trade in high-tech services, and focus on cultivating communications, finance, accounting, media, consulting, technology, international freight forwarding, exhibition, software and other modern service industries with high added value.
(II) Actively promote the development of Chinese food, traditional Chinese medicine, education, sports, culture and arts, broadcasting, film and television, press and publishing, animation, online games and other trade in services with Chinese characteristics, expand the overseas marketing channels and actively explore the international market.
(III) Continue to consolidate the development of transportation, tourism, construction, foreign contracted projects, labor cooperation and other traditional trade in services with scale advantages, promote enterprises to carry out overseas investment activities, support the direct investment and localized operation of enterprises of trade in services in developing countries, and actively develop the relevant markets in developed countries.
(IV) Accelerate the development of service outsourcing, encourage the development of information technology outsourcing, business process outsourcing and knowledge process outsourcing with high content of knowledge, high added value and strong innovation, consolidate and advance the service outsourcing in software, information and telecommunication infrastructures, finance, communications, pharmaceutical R&D and other areas, focus on breaking through the service outsourcing in cultural and creative industry, manufacturing industry, commercial services, logistics and other areas, and actively cultivate the service outsourcing in medical treatment, public services, education, distribution and other areas.
(V) Put emphasis on promoting the trade in services which matches energy conservation and environmental protection, new energy, biotechnology, high-end equipment manufacturing, new materials, new energy vehicles and other strategic emerging industries, promote the upgrading of industrial structures and cultivate the cluster of competitive industries.
IV. Types of Support
(I) Export enterprises and projects. Focus on supporting the export enterprises and projects in the key development areas of trade in services.
(II) Import enterprises and projects, including technological transformation and renovation projects which are carried out for the promotion of technological updating by enterprises of trade in services and import projects of key technologies and major equipment.
(III) Fixed asset investment projects. Domestic infrastructure construction projects implemented to enhance the level and quality of domestic service industry and improve China’s competitive advantages of trade in services as well as platform and demonstration projects which can drive the rapid development of trade in services.
(IV) Others. Other enterprises and projects of trade in services which are highly recommended by the competent departments of commerce and comply with the credit policies of China Eximbank.
V. Support Means
(1) Develop credit products. China Eximbank will positively develop innovative financial products and services for the development of trade in services in line with the principle of independent loan approval on the basis of actively using the launched transaction platform construction loans for trade in services, construction loans for international logistic infrastructure, business loans for international logistic transportation services, export credit for cultural products and services (including animation), loans for tourist culture internationalization, construction loans for international exhibition service facilities, overseas investment loans, seller’s credit on export for high-tech products (including software), import credit, loans for foreign contracted projects, export base construction loans and other credit products.
(II) Explore intermediate business. China Eximbank will actively provide enterprises with intermediate business services including international settlement, foreign exchange settlement, trade financing, external guarantee and bond underwriting, promote the Rinminbi settlement and financing of trade in services, and take the initiative to offer country risk management, exchange rate risk aversion and other consulting services to enterprises based on the risks confronted by enterprises of trade in services while “going out” so as to achieve safe and effective configuration for the funds of enterprises.
(III) Innovate the ways of guarantee. China Eximbank will actively explore equity, stocks, bonds, inventory, warehouse receipts, insurance policies, export tax rebates, account receivables, intellectual property pledge, third-party guarantee provided by professional guarantee agencies and other combined ways of guarantee on the premises of risk prevention, positively build the financing platform for enterprises of trade in services, especially small and medium-sized enterprises of trade in services, and improve the financial guarantee ability of enterprises of trade in services.
(IV) Perfect the supporting services. China Eximbank will seriously study the government policies related to development of trade in services, release credit policies of trade in services in a timely manner, optimize the loan approval process under the condition of controlled risks, improve the efficiency of loan approval, further strengthen the input of labor, information, statistics, accounting, technology and other resources, and strive to build the support system with the whole bank supporting the development of trade in services.
VI. Supporting Measures
(I) Establish coordination and leading mechanism. Ministry of Commerce and China Eximbank will establish the coordination and leading group for the support of finance to development of trade in services (hereinafter referred to as the “coordination and leading group”). Relevant principals from Ministry of Commerce and China Eximbank will jointly hold the posts of group leaders to comprehensively take charge of the work related to the support of finance to trade in services. General office is established under the coordination and leading group, and it is formed by Department of Trade in Services and Commercial Services in Ministry of Commerce as well as Business Development and Innovation Department in China Eximbank to undertake the detailed work of coordination and leading group. Local competent departments of commerce and branches of China Eximbank shall strengthen the communication and coordination, study the related supporting policy measures, cooperate with the implementation of relevant work arrangement, and create favorable policy environment for the development of trade in services through government-bank interaction, vertical linkage and other modes to integrate all the competitive resources.
(II) Organize the recommendation of enterprises and projects. Ministry of Commerce and China Eximbank will establish the enterprise and project recommendation mechanism of “project selection by local competent departments of commerce together with branches of China Eximbank – report by local competent departments of commerce – review and recommendation by Ministry of Commerce – independent loan approval by China Eximbank”. Local competent departments of commerce shall report enterprises and projects which have certain scale, relatively strong international competitiveness as well as relatively outstanding economic and social benefits to Ministry of commerce on a regular basis jointly with relevant branches of China Eximbank. Ministry of Commerce will organize experts to review the reported enterprises and projects, and provide the recommendation lists of key enterprises and projects of trade in services to China Eximbank on a regular basis. For the government investment projects recommended, all the operating agencies of China Eximbank shall give priority support.
(III) Strengthen information sharing. Competent departments of commerce at all levels and all the operating agencies of China Eximbank will strengthen the exchange and cooperation in industry policy, development planning, country risk, international market information, enterprise and project information as well as other aspects, study and carry out information collection, sorting and statistical work, strengthen the information base construction of enterprises and projects of trade in services, and jointly carry out special investigation and topic research as well as other work.
(IV) Carry out integrity building. Local competent departments of commerce will cooperate with China Eximbank to complete the pre-loan investigation, feasibility study, evaluation, argumentation, loan approval and after-loan management, practically improve the financing ability of enterprises of trade in services and assist the enterprises to solve the financial difficulties during the development.
Please earnestly study and actively implement the opinions. For specific issues, please contact the Ministry of Commerce (the Department of Trade in Services and Commercial Services) and China Eximbank (Business Development and Innovation Department).
Ministry of Commerce of the People’s Republic of China
Export-Import Bank of China
March 26, 2012
(Translated by Liu Jia)