SMM

On August 8, an article on the front page of the Economic Daily pointed out that the operation of the micro economy requires orderly, efficient, and smooth links to solve. Long-term arrears of funds will lead to difficulties in the development of enterprises and unstable expectations and also will damage the credibility of the government. For example, a pilot exploration of government accounts payable financing services could be conducted in selected regions. If a local government has financial difficulties and is unable to pay the arrears, it may, within a certain amount and with the government’s credit guarantee, provide private enterprises and small and medium-sized enterprises with loans of the same amount or a certain proportion. In this way, on the one hand, it can ease the repayment pressure of some local governments and enterprises in financial difficulties. On the other hand, it can provide liquidity support for small and medium-sized enterprises that are in arrears and avoid the normal operation of cash flow problems.