One of China’s big state-owned banks has entered a partnership with the recently established Beijing Stock Exchange to help drive financing for innovative small businesses.
On 10 December Postal Savings Bank of China (PSBC) executed a strategic cooperative agreement with the Beijing Stock Exchange as well as National Equities Exchange and Quotations (NEEQ) – the over-the-counter system for trading shares in smaller listed companies.
PSBC said that the move is intended to “better support the development of innovative small-and-medium sized enterprises, service the development of multi-tier capital markets, and aid in the implementation of the national innovation-driven development strategy.”
Under the agreement PSBC, the Beijing Stock Exchange and NEEQ will “further strengthen communication and exchange, undertake cooperation in multiple areas including enterprise cultivation, loan support, linked lending and investment, comprehensive financial services, information sharing, tech financing and innovation research, and jointly explore new pathways and plans to support SME’s and develop financial inclusion.”
