The Hefei National High-tech Industry Development Zone – located in the city of Hefei, capital of East China's Anhui province – held a product promotions meeting and signing ceremony for a special initiative on July 24.

The zone launched what it calls its Valley E-Loan program. The event brought together several science and technology enterprises, who collectively signed contracts worth over 50 million yuan ($6.98 million).

Representatives of sci-tech enterprises in the Hefei high-tech zone sign contracts on July 24. [Photo/WeChat ID: hefeigaoxinfabu]

The Valley E-Loan initiative aims to provide financing services to small, medium and micro enterprises, as well as technology-based and high-tech enterprises in the high-tech zone.

It offers a maximum amount of up to 10 million yuan, a guarantee period of up to 3 years and an annual interest rate of no more than 1 percent.

To boost the supply of credit, the Hefei high-tech zone has implemented a dynamic management protocol for Valley E-Loans, enabling targeted and differentiated credit services for enterprises.

The district government guarantee institution and Hengfeng Bank's local branch have also established a credit guarantee model that exempts enterprises from pledging collateral – thereby improving the lending efficiency.

In recent years, the Hefei National High-tech Industry Development Zone has launched various financial products to provide financing service guarantees for science and technology enterprises.

The zone has provided guaranteed support of over 22 billion yuan to 5,100 enterprises, collaborating with more than 26 banks and granting total credit of over 7.1 billion yuan. This is said to have significantly facilitated the flow of funds to sci-tech enterprises, boosting their development.