Unlocking Growth: China's SMEs to Benefit from Improved Financing Accessibility
Small and medium-sized enterprises (SMEs) in China often struggle to get financing, especially in smaller cities. The costs for SMEs are higher due to bank fees and credit risks. To help SMEs, policies should focus on improving financial inclusion in small cities and building a better financial infrastructure. This could lower financing costs and make it easier for SMEs to access credit. Using technology and expanding collateral options could also help SME financing.