Fujian Province Expands Loans to Manufacturing Industry at National Meeting
On September 20, Southeast Net reported on the national on-site meeting held in Ningde, Fujian Province to discuss the expansion of medium and long-term loans to the manufacturing industry in the third quarter. The meeting was organized by the Department of Finance and Credit Construction of the National Development and Reform Commission, with the support of the Fujian Provincial Development and Reform Commission and the Ningde Municipal Government. More than 200 people attended the meeting, including heads of Development and Reform Commissions from various provinces, financial institution executives, and representatives from leading manufacturing companies.
According to the reporter, Fujian Province has made significant progress since the expansion of loans to the manufacturing industry in September last year. A total of 904 projects were approved, with an investment of 945.492 billion yuan and a financing demand of 518.525 billion yuan. Out of these projects, 520 received approval from the National Development and Reform Commission, with an investment of 442.622 billion yuan and a financing requirement of 257.074 billion yuan. Currently, 255 projects have been docked and 179 projects have been signed, with a contract signing completion rate of 70.2%. The contracted loan amount is 60.185 billion yuan, and 21.979 billion yuan has already been invested.
Ningde City, known as the “gold” of Fujian, has been experiencing a boom in the manufacturing industry. It is an important growth pole for the province’s high-quality development. The city has been actively promoting the collaboration between the government and banks to support the development of the manufacturing industry. It has successfully built a national inclusive financial reform pilot zone and implemented special financing actions. Ningde has introduced and nurtured leading enterprises such as CATL, New Energy Technology, SAIC, Qingtuo Group, and China Copper. The manufacturing loan growth rate in the city has exceeded 40% annually for the past five years.
Manufacturing loans in Ningde City have reached 73.706 billion yuan since the beginning of this year, a year-on-year increase of 60.3%. Medium and long-term manufacturing loans have reached 47.279 billion yuan, a year-on-year increase of 47.8%. With support from the National Development and Reform Commission, 21 medium- and long-term loan projects in Ningde City have been approved this year, with a total financing demand of 4.041 billion yuan. These loans have effectively facilitated industrial transformation and upgrading, ensuring the safety and stability of the industrial and supply chains, and contributing to the overall economic and social development.
Representatives from local manufacturing companies have expressed their gratitude for the financial support they have received. Fujian Gutian Pharmaceutical Co., Ltd., for example, has benefited from special policies that provided a loan of 69 million yuan for their relocation and expansion project. This loan has greatly facilitated their development plans, and they anticipate an annual GDP of more than 500 million yuan, an annual tax revenue of over 40 million yuan, and job creation for thousands of people. The company is currently in communication with banks for additional loans and is working towards an IPO within three years.
Another beneficiary, Ningde Wenda Magnesium and Aluminum Technology Co., Ltd., has obtained a medium- and long-term loan credit line of 550 million yuan for their lightweight materials project. This funding will primarily be used for equipment investment. The company is planning to start the shareholding reform and prepare for listing next year. They are currently focusing on the production line for auto parts and electric ship hulls, with technical cooperation underway with major engine manufacturers. The company aims to complete production line construction and obtain the necessary qualifications by October.
The expansion of loans to the manufacturing industry in Fujian Province, particularly in Ningde City, demonstrates the commitment to supporting high-quality development and promoting industrial growth. With continued financial support, these manufacturing companies are poised to contribute to the economic prosperity of the region and beyond.