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Shenzhen cuts ¥60b in costs to firms to offset virus impact

2020-February-10       Source: Szdaily.com

Shenzhen unveiled a package of 16 measures Friday to lighten the burden on local businesses by reducing their costs by around 60 billion yuan (US$8.6 billion), in an effort to alleviate the impact of the novel coronavirus pneumonia (NCP) outbreak.

Shenzhen unveiled a package of 16 measures Friday to lighten the burden on local businesses by reducing their costs by around 60 billion yuan (US$8.6 billion), in an effort to alleviate the impact of the novel coronavirus pneumonia (NCP) outbreak.

The measures aim to help producers of medical products and financially strapped small- and medium-sized employers and employees, and reduce financing costs and improve financing efficiency of enterprises, according to the city’s development and reform commission.

Private enterprises, research institutions, medical institutions and self-employed businesspeople who rent properties owned by the government and State-owned enterprises will be exempt from paying rent for two months. Tenants of government-funded homes will also be exempt from paying rent for two months.

Employers unable to make social insurance payments on time because of the outbreak can repay it within three months after the outbreak has ended.

The government will cut the monthly basic electricity charge for businesses for February, and property managements at industrial parks and commercial buildings are not allowed to collect basic fees from users.

For firms and industries that are seriously affected by the outbreak and have had difficulties paying back loans, banks are advised to extend load periods or consider long-term loans or credit loans. Enterprises key to the combat against the epidemic are given priority in land, electricity and water use.

Each taxi will get a subsidy of 1,000 yuan a month to offset the loss due to decreased ridership. Each taxi driver accumulating more than 150 kilometers of mileage or operating for at least six hours a day will receive a daily reward of 50 yuan.

Editor: Monica Liu

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