The Kunming Area of the China (Yunnan) Pilot Free Trade Zone has issued a concrete policy measure document in order to further stimulate the vitality of enterprises and promote economic stability and improvement.
The document consists of 16 policy measures focused on accelerating investment growth, boosting the real economy, and supporting innovation and entrepreneurship.
According to the policies, newly started projects are the key to speed up investment. The number of newly-commenced projects is expected to reach 70, accounting for 50 percent of the total investment projects of the year.
One-time rewards, ranging from 100,000 yuan($14546.3) to 500,000 yuan, or ranging from 200,000 yuan to one million yuan, will be given to technology service and commercial projects or industrial manufacturing projects whose actual investment ranges from 50 million yuan to one trillion yuan in the first three quarters of this year, and account for more than 25 percent of the total investment.
In addition, efforts should be made to encourage enterprises to increase investment in industrial and technical transformation. For new industrial projects in the zone, 10 percent of the investment in equipment and information technology will be subsidized, with a maximum subsidy of 30 million yuan.
Industrial enterprises above designated size whose quarterly output value growth rate reaches 10 percent or more in 2023 will be given a reward of 3 percent of each quarter’s output value increment. Those enterprises will not be rewarded if their quarterly output value increment is below two million yuan. Funds for a single enterprise will not exceed 500,000 yuan per quarter.
The zone will provide rewards or subsidies for reducing corporate financing costs, expanding corporate scale, cultivating market players, stimulating a sharp rebound in consumption in key areas, encouraging financial institutions to increase support for small, medium and micro enterprises, and promoting the stability of the real estate market and foreign trade.
The policies also encourage an increase in R&D investment. Those who have been approved as innovation platforms and R&D institutions at the national, provincial and municipal levels will be rewarded another 50 percent of funds given by the superior department. The maximum funding for each enterprise is 10 million yuan.
Enterprises that support innovation platforms and introduce talents will also be given rewards and subsidies.
This policy measures will be implemented from the date of promulgation and will be implemented until Dec 31, 2023.
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