The Guizhou government recently released a three-year plan that will provide financial support for companies looking to go global.
According to the plan, Guizhou will prioritize foreign contract work and external investment in the manufacturing industry to seek more economic and trade cooperation with countries involved in the Belt and Road Initiative (BRI).
By 2020, the number of companies in Guizhou investing abroad is expected to increase by about 40, and the city is also expected to achieve $1.5 billion worth of economic and technological cooperation with foreign countries, as well as promote one or two major international projects every year.
Companies eligible for funds for overseas economic and technological cooperation will receive at least 10 million yuan ($1.4 million) from the Guizhou government in the form of overseas factory construction fees, safety guarantee fees, personnel insurance fees, equipment logistics fees, loan interest, overseas storage fees, etc.
In addition to financial aid from the provincial government, municipal governments, autonomous prefectures, and Guian New Area will also arrange special funds to support companies.
Guizhou will also encourage all kinds of equity investment funds and venture capital funds to participate in overseas projects through equity investment in order to solve financing problems for companies.
In addition, the province will enhance cooperation with the China Development Bank, the Export-Import Bank of China, China Export and Credit Insurance Corporation, and other financial institutions to raise the line of credit, liberalize loan conditions, reduce loan interest rates, issue letters of indemnity, and provide other conveniences for companies.
Guizhou will also help companies investing abroad navigate overseas tax policies. All exports for the purposes of overseas investment can benefit from relevant preferential tax policies.
