On May 10, 2012, NAFMII signed a trilateral memorandum of understanding on cooperation with the People’s Government of Zhejiang Province and the Hangzhou Central Sub-branch of the People’s Bank of China (PBOC Hangzhou Central Sub-branch) in Hangzhou. Deputy Governor of Zhejiang Provincial Government Gong Zheng attended the ceremony and delivered a keynote speech.

NAFMII Signs a trilateral MOU with the Zhejiang Government and the PBOC Hangzhou Central Sub-branch

NAFMII Secretary-General Shi Wenchao attends the ceremony and delivers a speech

Since its foundation, NAFMII, supported by the market members and based on innovation and development of the interbank market, has maintained close cooperation with the Zhejiang Government and the PBOC Central Sub-branch to enhance the timeliness and effectiveness of the interbank market in serving the real economy. By the end of April 2012, 104 enterprises in Zhejiang Province had cumulatively issued RMB152.712 billion worth of non-financial enterprises debt financing instruments on the interbank bond market. Among which, 25 strategic emerging enterprises issued 71 debt financing instruments, raising RMB52.94 billion, and 23 service enterprises issued 60 debt financing instruments, raising RMB52.23 billion. This has provided effective support for Zhejiang to upgrade its industrial structure and drive economic transformation. In addition, Ningbo Port Co., Ltd., Ningbo Marine Co., Ltd. and other shipping companies had cumulatively raised RMB5.2 billion on the interbank bond market, making beneficial explorations in building the marine economy demonstration zone in Zhejiang, and promoting the application of debt financing instruments in the province.

Vice Governor Gong Zheng talks with Secretary-General Shi Wenchao

At the signing ceremony, relevant leaders of Zhejiang Government and PBOC Hangzhou Central Sub-branch spoke highly about the regional optimized debt financing plan. Different from the existing products, the core of the regional optimized debt financing plan lies in that it introduces local governments to share risks, so as to provide credit enhancement for SME debt financing. Earlier, Hangzhou and Huzhou signed the Framework Agreement on Regional Optimized Debt Financing Cooperation with China Bond Insurance Co., Ltd.