On September 29, the central bank and multiple Chinese authorities officially unveiled 19 financial measures to boost the high-quality development and expansion of the service industry. Targeting key sectors including consumption, cultural tourism, logistics, and technological innovation services, these policies deliver solid financial support to fuel the recovery and upgrading of China’s service sector and shore up its development weaknesses.

Tailored to the core financing difficulties of service enterprises, the new policies introduce differentiated credit support, low-cost financing tools, financing guarantee enhancement, and supply chain financial innovation. Prioritizing micro, small and medium-sized service enterprises, the measures effectively cut their comprehensive financing costs. Financial institutions are also encouraged to develop exclusive financial products adapted to asset-light service industries such as cultural tourism, health and elderly care, commercial retail and modern logistics, solving the long-standing problems of difficult and expensive financing for asset-light enterprises.

As a core pillar stabilizing China’s economic growth, the service industry plays an increasingly vital role in boosting employment and domestic consumption. While domestic consumption has maintained a steady recovery recently, many service enterprises still face tight cash flow and limited expansion capacity. The newly released 19 measures refine the national strategy of expanding domestic demand and stabilizing consumption, achieving precise financial irrigation for the real economy. Industry insiders predict the policies will fully vitalize market entities in the service sector, drive the transformation and upgrading of traditional services and the rapid expansion of modern service industries. This will further consolidate the endogenous driving force of China’s economy and underpin steady economic growth in the third quarter.