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Lujiazui poised for new financial incentive

Updated: 2014-10-31

( chinadaily.com.cn )

Lujiazui poised for new financial incentive

The Lujiazui Forum Oct 31 is working on the most thorough nine policies supporting the emerging Internet finance industry, also called "Lujiazui Nine". [Photo/provided to chinadaily.com.cn]

At the Lujiazui Internet Finance Forum, on Oct 31, at China Financial Information Center of Lujiazui, Shanghai, participants will discuss nine policies supporting the emerging Internet finance industry, or the "Lujiazui Nine", for industrial parks, hardware services, subsidies, and personnel introduction.

The policies give priority to the Lujiazui Emerging Internet Finance Industrial Park and Innovation Base, where the focus will be on IT development, the Internet, mobile communications, big data, cloud computing, social networks, and search engines, with some institutions in Internet finance, third-party payments, hedge funds, leasing, personal wealth management and other financial services.

The park and base will also provide services in information, capital evaluation, credit investigation and financial consultation for enterprises and agencies there and the policies are expected to benefit many groups, from Internet financial enterprise working on P2P and third-party payment to emerging financial institutions in private equity funds and leasing, especially in or around the Lujiazui Finance District.

Lujiazui will also provide performance-based subsidies for new financial enterprises and subsidies for contributions, rent and talent searches and will have funds to help develop certain enterprises.

According to Fei Fangyu, of Shanghai Jiaotong University’s China Finance Research Institute, "The Lujiazui policies are the most comprehensive support measure from Internet finance, in that they cover almost all emerging financial operation and include new businesses in government support, and provides favorable conditions for expansion, talent, and budget and industry controls."

Internet finance is an emerging industry that first appeared in a government work report, in March. Shanghai came out with the first local Internet finance rules, in August, and now is ready to publish the most thorough measures. It will also have seven enterprises signing contracts and the establishment of a Lujiazui Internet Finance Association and a Lujiazui International Financial Journalists Club.

The Lujiazui Forum, on Oct 31, has a work conference for government officials and business representatives for a dialog, where the policies will be officially announced and participants are expected to discuss the future of the industry.