[Photo/IC]

The Shanghai municipal government recently released 19 financial service measures as part of its drive to unleash the vitality of the city's private economy, local media reported on June 12.

The measures, which include optimizing the financial business environment and strengthening department coordination, will promote the construction of a professional and comprehensive financing system and increase financial support for private enterprises by taking advantage of Shanghai's rich financial resources, said a local official.

According to the policy, a minimum loan of 10 billion yuan ($1.44 billion) will be offered to small and micro private enterprises that focus on technological innovation and advanced manufacturing.

The policy advises a 20 billion yuan loan for quality private small and medium-sized enterprises in the next three years.

Other measures include encouraging commercial banks to increase loans to private businesses, setting up investment funds, and broadening channels for private enterprises to access financing.

Private high-tech companies are also encouraged to go public through the newly-launched Nasdaq-style tech board at the Shanghai Stock Exchange.

The plans also propose more convenient and favorable currency cross-border settlement services for private enterprises by exploring various financing methods, such as free trade accounts.

Shanghai has long been dedicated to creating a favorable financing environment for private businesses which suits their individual financial needs.