Yiwu has introduced a new financial service to support foreign merchants, offering business credit loans without the need for collateral.
The initiative aims to provide long-term foreign merchants in Yiwu with fast and convenient financial services.
Rami, an Egyptian merchant who has been doing business in Yiwu for 25 years, recently benefited from the new service. He primarily deals in the export of daily goods such as accessories, shoes, and clothing. Despite his thriving business, rising shipping costs this year created a cash flow deficit.
Upon learning of his situation, staff at the Yiwu Rural Commercial Bank's Free Trade Zone Financial Service Center assessed Rami's business and granted him a credit loan of 190,000 yuan ($26,113). The funds were transferred to Rami's business card on the same day as the signing.
This loan is part of a broader effort to optimize financial services for foreign merchants.
According to Chen Jianfei, team leader at the Yiwu Rural Commercial Bank's Free Trade Zone Financial Service Center, Rami registered as a foreign purchaser in Yiwu, similar to a domestic individual business owner. The bank focuses on addressing challenges such as lack of collateral and guarantees by strengthening policy support and service connections. This innovative business credit loan service allows foreign merchants to enjoy the same convenient financial services as individual business owners.
