February 9, the Industrial Bank signed a strategic cooperation agreement with Fujian SMEs Credit Re-Guarantee Co., Ltd. in Fuzhou. According to the agreement, the Industrial Bank will provide the Fujian SMEs Credit Re-Guarantee Company with an intended credit line of RMB 2 billion Yuan. In addition to this, the two parties will engage in widespread cooperation in the field of financing for small and medium sized enterprises (SMEs). The two parties will seek new and innovative financing guarantee modes for SMEs so as to address the difficulties that SMEs face in terms of guarantees and reduce the risks of granting loans to SMEs. The two parties hope that their efforts will support the rapid and sound development of SMEs on the Western Side of the Taiwan Strait.
The Industrial Bank stated that SMEs are an important force in the development of the national economy. The Industrial Bank has always attached a high level of strategic significance to its SME business, which it hopes to develop as a key area of competitiveness and a foundation for the long term development of the bank. The Bank adheres to the concept of “growing together in development”. Guided by this notion, it is committed to broadening service scope, creating innovative banking products and optimizing processes in a bid to enhance its capabilities in the provision of professional services to SMEs.
In 2009, the Industrial Bank established a SME Department under its head office, thereby realizing the specialized operation and management of financial services for SMEs. The Bank followed up by establishing specialized institutions to serve SMEs in 10 different cities, including Fuzhou, Xiamen, Quanzhou, Guangzhou, Hangzhou, Shenzhen, Nanjing, Chengdu, Wuhan and Ningbo. It has thus created a focused and specialized system to provide services to SMEs.
As the only national joint-stock commercial bank to be based on the western side of the Taiwan Strait, the Industrial Bank takes it upon itself to serve and support the local economy. It adheres to the principle of being “rooted in the Western Side of the Strait to build a prosperous future together”. Under the guidance of such a notion, it has taken active part in the development of the region, and has supported a large group of innovative SMEs that boast independent brands, create economic and social benefit, and demonstrate excellent prospects for the future. At present, many SMEs experience difficulties in securing loans and providing guarantees. Under this backdrop, the Industrial Bank has joined hands with the Fujian SMEs Credit Re-Guarantee Co., Ltd. to actively expand credit granted to excellent guarantee agencies and SMEs in Fujian via credit enhancement provided by the re-guarantee platform. This will benefit SMEs in Fujian, including Taiwanese and foreign invested companies.
Officials from the Fujian SMEs Credit Re-Guarantee Company stated that the Industrial Bank has an edge over other national joint-stock commercial banks in terms of outlet distribution, operation scale and SME service capacity. This provides a solid foundation on which the two parties will promote financing guarantee for SMEs in the future.