China takes measures to reduce stress in the service, housing industry

Small and micro enterprises as well as self-employed individuals in the service sector have been reduced or exempted almost 54.5 billion yuan ($8.1 billion) of housing rents since Chinese authorities introduced a preferential policy to ease pressure for them amid the epidemic, according to the Ministry of Housing and Urban-Rural Development on Thursday.

As of July 20, 936,400 such market entities have been spared from paying 53.8 billion yuan of rents for State-owned houses, said Wang Shengjun, the ministry's spokesman. 

He said another 695 million yuan has been reduced or exempted for 38,300 entities that are tenants of other types of housing. 

Late in June, the ministry, together with seven other government organs, jointly unveiled a circular, calling on local governments to carry out practical measures to reduce or exempt housing rents for market entities.

Small and micro companies and self-employed businesses in the service sector that are tenants of State-owned houses in county-level administrative areas classified as medium and high-risk for COVID-19 will enjoy a six-month rent exemption this year, while those in other areas will be exempted from paying rent for three months, according to the document.

It said those leasers who offer rent relief will enjoy preferential tax policies. State-owned banks are encouraged to extend pledge loans at concessional rates to them.

Wang said, as of July 20, financial institutions across the country had offered 28.3 billion yuan of pledge loans with concessional rates to 243,500 market entities. 

houliqiang@chinadaily.com.cn