Shanghai's Huangpu district is moving to boost the high-quality development of its financial services sector.

To that end, it released implementation measures on Nov 29 in an initiative designed to ramp up development and to enhance the ability of the financial industry to serve the real economy. These measures will be in effect from Jan 1, 2025 to Dec 31, 2027.

I. Scope of application

The measures will be applied to legal entities or non-legal-entity organizations in the financial services sector in Huangpu. Relevant entities must comply with the industrial development of the district, possess sound operation conditions, and have no records of any serious illegal or dishonest behavior.

II. Some major measures

1. Strengthen construction of regional financial system

Huangpu will enhance the industrial level of the Bund financial cluster belt. The core area of the belt covers an area of 2.6 square kilometers, stretching from the south bank of the Suzhou Creek in the north to the Lujiabang Road-Waima Road in the south, and from the Huangpu River in the east to the Middle Henan Road-Renmin Road-Zhonghua Road-Sangyuan Street in the west. The move covers the financial industry across the whole district.

The district will encourage licensed financial institutions at home and abroad to establish independent legal entities, functional headquarters, branch offices, specialized subsidiaries, exclusive agencies and outlets in the belt area.

A reward of no more than 30 million yuan ($4.11 million) will be provided to various kinds of high-quality financial institutions after comprehensive assessments.

2. Bolster innovative development, opening-up of financial sector

Huangpu will assist the financial factor market to explore cooperation with renminbi overseas clearing banks, Chinese-funded overseas institutions, promote interconnectivity with financial infrastructure in Shanghai, streamline trading, trust and settlement links, enhance communications and connectivity, and create more convenient conditions for domestic and foreign market entities to use RMB.

A special reward of no more than 10 million yuan will be provided to high-quality innovative projects in the financial factor market after their comprehensive assessments.

The district will support financial institutions in their efforts to be market-oriented and to develop financial products and services that cater to the entire chain of sci-tech innovation and the entire life-cycle of sci-tech enterprises.

A special reward of no more than 10 million yuan will be provided to financial innovative projects in related fields after their comprehensive assessments.

The district will boost pilot programs for Qualified Foreign Limited Partnership (QFLP) and Qualified Domestic Limited Partnership (QDLP). It will encourage QFLP pilot enterprises to invest in industries that tally with the national guidance, and support QDLP pilot enterprises to invest in high-quality, cutting-edge industries and projects.

A special reward of not exceeding 3 million yuan will be provided to high-quality QFLP pilot enterprises after their comprehensive assessments.

3. Support finance to serve high-quality development of real economy

Huangpu will rely on the construction of the Huaihai Xintiandi functional area for import trade, encourage financial institutions to further improve the depth and breadth of their financial services for cross-border trade. It will strengthen support for cross-border trade of enterprises through purchase order financing, discounts on notes receivable, payment settlements, export credit insurance and other business.

A special reward of no more than 10 million yuan will be provided to relevant projects after their comprehensive assessments.

The district will support futures companies and their subsidiaries in carrying out business in futures and spot goods to serve the real economy, as well as encourage financial leasing companies to strengthen support for technology-based, innovative and entrepreneurial small and medium-sized enterprises.

A special reward of not exceeding 10 million yuan will be provided to eligible companies after their comprehensive assessments.

4. Bolster cultivation of financial institutions with global competitive edge and industrial influence

Each year from 2025 to 2027 — in light of the comprehensive performances of enterprises in their contributions to the real economy, product innovations, awards and honors, as well as development situations — a special reward of no more than 500 million yuan will be provided to eligible enterprises after their comprehensive assessments.

In their bid to grow bigger and stronger, Huangpu will support financial infrastructure — such as the financial factor market, wealth management subsidiaries of banks, insurance asset management subsidiaries, securities companies and their subsidiaries, trust companies, finance companies and other kinds of financial institutions.

A special reward of no more than 500 million yuan will be provided to high-quality entities after their comprehensive assessments.

The district will encourage financial institutions and related entities to introduce a variety of high-level, urgently needed financial talent from home and abroad, build a high-level talent team and enhance the level of service institutions.

A special reward of no more than 7 million yuan will be provided to eligible entities after their comprehensive assessments.

5. Optimize ecosystem for financial industry

Huangpu will support the organizing of various international and national-level seminars, forums and other high-level exchanges and conferences on the financial industry, and set up domestic and international cooperation platforms in the financial field.

A special reward of not exceeding 30 million yuan will be provided to related entities after their comprehensive assessments.

The district will assist with the introduction of a number of professional, market-oriented, international "intellectual property rights plus finance" service institutions, and build an "internet plus finance plus intellectual property rights" platform.

It will leverage the Shanghai Financial Court and the Shanghai Bund Financial Arbitration Centre to establish a diversified dispute resolution mechanism that effectively connects mediation, arbitration and litigation. Moreover, it will promote the further integration of the law-based financial environment and operation rules with the international community.

Source: Shanghai Huangpu District Investment Promotion Office

Note: The English version of the implementation measures is for reference only; the official Chinese document shall prevail.