(By: Shi Danni)
Shanghai Huarui Bank—the first private bank in Shanghai, which signed the Financial Cooperation Agreement in Supporting the Construction of Jing’an District Innovative Small and Medium-sized Enterprises with Jing’an District government, has been officially opened to the public in SFTZ.
This year Jing’an District Government has mutually signed the Financial Cooperation Agreement in Supporting the Construction of Jing’an District Innovative Small and Medium-sized Enterprises with Shanghai Huarui Bank. According to the agreement, both parties will further deepen the cooperation and develop the project cooperation surrounding the key industries in the district, in particular, the innovative small and medium-sized enterprises.
Offering convenience for small and medium-sized enterprises
What kind of consideration is Jing’an District based on for the cooperation with Huarui Bank?
Huang Yongqian, Vice Director of Jing’an District Financial Affairs Office said when he was interviewed a few days ago: first, the establishment of Huarui Bank was the result of financial innovation. As one of the first five private banks in China, the private bank itself had more flexible operation development strategies compared with the traditional banks and could be more dedicated to serving the development of small and middle-sized enterprises. Second, Huarui Bank was registered in SFTZ, which enjoyed the bonus of the financial reform in SFTZ and was capable of serving the small and middle-sized enterprises in Jing’an District with more advantageous financial means and products. Third, while reducing the operation cost of the small and medium-sized enterprises and improving the management efficiency through providing the information management system free of charge, system data had become the credit extension foundation for Huarui Bank in loaning to the small and medium-sized enterprises, which not only solved the difficult problem of light-assets and financial requirements of the small and medium-sized enterprises for little investment but quick effects, but also effectively satisfied the risk control requirements and left the real convenience for the enterprises. The cooperation between Jing’an and Huarui, the bank with private capital vein, would become an inevitable “jigsaw” to serve the regional economy.
Jing’an is the fortunate place of makers. Though the operation cost in the central city is seemingly high, actually the “investors” required for innovative and entrepreneurship development—investment and financial institutions of various kinds are all gathered in the central city. The entrepreneurship in Jing’an is beneficial to enhance the enterprise image and expand the intangible assets; to be closer to the investors and have broader financial market; to attract more concentration of elites and talents and witness more surging thoughts; and to enjoy better ecological and more convenient innovation and entrepreneurship environment.
The maker space of Shanghai was originated from Jing’an. Currently Jing’an has seven parks and in terms of innovation and entrepreneurships, Jing’an is playing the leading roles. Now, the prosperous development of the new parks in Jing’an, represented by “Guanshengyuan Internet Financial Park” has symbolized the upgrade of parks from 1.0 version to 2.0 version and the transition from the traditional administrator to the guide or even investors.
Optimizing the financial environment and services
For the absorption of Huarui Bank for the cooperation and mutual promotion for the development of small and medium-sized enterprises, the environment and services of Jing’an prevail.
From the perspective of environment, the favorable geographical location, clustered high-end buildings, development business and commerce, perfect catering, consumption and entertainment facilities, high-quality white-collar services, etc, the hardware and software environments have integrated to form the good ecological environment of Jing’an.
From the perspective of services, Jing’an District Financial Affairs Office has always been dedicated to the breakthrough in financial areas and support, encouragement of financial innovation, who furthermore enriches the ecological environment of Jing’an.
The positioning of Jing’an financial industry is the multi-national financial function area. First, to be concentrated with, and serve the numerous renowned multi-national institutions in the district; and second, support and serve the high-quality domestic-invested institutions in the district to explore the overseas market.
After Huarui Bank signed the agreement with Jing’an, it’s expected that Huarui Bank could carry forward the “catfish effect” of the private bank, promote the other financial institutions to improve the service level and product design for the small and medium-sized enterprises, form the positive competition and finally realize the multi-party joint development. At the same time, Huarui Bank has been actively geared to the Internet financial parks and technological innovation parks in the district and introduced the angel investment by combining the VC/PE (venture capital and private equity investment) with relatively high concentration in Jing’an. After the mutual efforts, both parties could better invigorate the driving forces of the park to innovation and entrepreneurship.
Jing’an District Financial Office expressed that in the service innovation and entrepreneurship, the government would further strengthen the carrier construction and carry forward the policy support roles. The government had aimed at building the comprehensive service platform and realized the information symmetry. On one hand, to make up a missed lesson for the innovation and entrepreneurship talents so that they could learn how to choose different financing channels and means at different stages; on the other hand, to increase the policy publicity and improve the awareness of the various supporting policies for the innovation and entrepreneurship talents; third, to build the exhibition space for the financing projects and financial products and enhance the direction and matching degree of both the supply and demand parties. Meanwhile, the government had increased the policy support and reflected the industrial guidance. The District Financial Office would continue to fulfill the favorable policies of discount for the enterprises in the district which borrowed money from the small loan company, support for the listing in stock right trusteeship transaction center, guide the small, medium-sized and micro enterprises to take advantages of the multi-level capital market, smoothen or solve the capital requirements in their development. Currently Jing’an District Government had set up Jingbao Angel Fund (phase I), which would focus on the featured industrial projects dominated by “Internet +”, technological services, and cultural industry, and this measure would firmly promote the industrial clustering and innovative development of Jing’an District.
(Source: Jing’an Times)