Financial Justice and Profit in China: Striking a Balance for National Development
In a recent development, the Zhejiang Zhien Environmental Protection Industrial Park was able to secure a 20 million yuan credit from Taizhou Bank for the upgrade of its sewage treatment plant. What was unexpected, however, was that the loan interest rate was nearly 30% lower than that of similar loans. This outcome was made possible through the Taizhou Shuzhi Financial Service Platform, where Taizhou Bank staff confirmed that the loan met the “green loan” standards, prompting them to provide interest rate concessions to support the company’s green transformation.
This successful case is a reflection of the business philosophy of taking both justice and profit into consideration and putting justice first. It aligns with the emphasis placed by General Secretary Xi Jinping on the importance of seeking profits with justice, not just seeking profits. This call for a balance between justice and profit is part of the effort to actively cultivate a financial culture with Chinese characteristics, as emphasized by Xi Jinping at the opening ceremony of the special seminar for leading cadres at the provincial and ministerial levels to promote high-quality financial development.
The significance of balancing justice and profit in the financial industry is deeply rooted in China’s traditional culture, with examples such as the principles of “making profit with justice” upheld by the Shanxi merchants, the philosophy of “making profits with justice” embraced by Huizhou merchants, and the value pursuit of “doing both justice and benefit” practiced by Zhejiang merchants. These ethical principles highlight the importance of righteousness and benefit as organically unified concepts.
Amidst these principles, the financial industry in China has been tasked with maintaining a balance between justice and profit to achieve a win-win situation. This has been demonstrated through the development of inclusive finance and financial poverty alleviation models, supporting the growth of small and micro business entities, and providing financial services to special groups such as urban low-income populations.
As China continues its journey towards modernization, the financial industry must uphold the values of justice and integrity, promoting righteousness and serving the real economy. By doing so, it can contribute to the success of China’s modernization drive and ensure that the people can better share the results of this development.
It is essential for the financial industry to adhere to the principles of “making profits with justice, not profit-seeking” and actively cultivate a financial culture with Chinese characteristics. This will lead to a broader road of development and enable the industry to play a significant role in supporting China’s modernization efforts.
It is important to note that the content mentioned in this article is for reference only and does not constitute substantive investment advice. Readers are advised to exercise caution and conduct their own research before making any investment decisions.