UPDATES OF GOVERNMENT SUPPORTS – SHENZHEN
On 7 February 2020, the Shenzhen Municipal Government issued various measures to support enterprises under the coronavirus crisis. The summary is listed as below:
- Proposed a number of measures to strengthen the services for fighting against the coronavirus, such as expediting the approvals of new projects for the production of materials and supplies needed for epidemic prevention and control, encouraging the manufacturers of anti-epidemic supplies to expand investments, establishment of special windows for rapid clearance of imported anti-epidemic supplies, providing financial subsidies to the designated hospitals, maintaining supply and stabilizing prices by offering temporary subsidies to vegetable and grain suppliers, etc.
- Proposed a number of measures to reduce the financial burden on enterprises and residents, such as reducing or exempting property rentals, deferring payment of social insurance contributions, reducing the employer’s portion of housing provident fund contributions, refund of urban sewage treatment charges, reducing the electricity costs for enterprises, deferring tax payment and reducing taxes, etc.
- Working with financial institutions to assist enterprises to stabilize cash flow and reduce financing costs.
- Offering subsidies, encouraging lease reduction, etc to taxi operators and drivers.
- Offering incentives such as refund of Unemployment Insurance Contributions to enterprises not laying off employees under this coronavirus crisis. Providing subsidies to help enterprises for stabilizing jobs and employment.
- Implementing a flexible employment policy for annual rest days, increasing subsidies to enterprises for providing trainings to employees, and strengthening export credit insurance guarantees.
The above measures are valid from 7 February 2020 to 31 December 2020, unless otherwise specified.
Should you have any questions on these, please do not hesitate to contact us.