The General Office of the State Council issued a notice on easing SME receivables stress. It says large firms that demonstrably shorten payable terms or cut payable volumes will get stepped-up financing support, including preferential access to loans and bond issuance. Commercial banks are urged, under risk-control conditions, to back large firms in replacing payables with loan or bond financing so they can pay upstream and downstream SMEs in cash promptly. The notice also directs exploring use

The General Office of the State Council issued a notice on easing SME receivables stress. It says large firms that demonstrably shorten payable terms or cut payable volumes will get stepped-up financing support, including preferential access to loans and bond issuance. Commercial banks are urged, under risk-control conditions, to back large firms in replacing payables with loan or bond financing so they can pay upstream and downstream SMEs in cash promptly. The notice also directs exploring use of SME specialized, refined, distinctive and innovative development evaluation results as credit enhancement to steer financial institutions to increase support for high-quality SMEs.