ICC Calls On Governments To Take Financial Measures To Save Small And Medium Enterprises.

Recently, the International Chamber of Commerce issued an open letter calling on ministers of finance to take financial measures to save small and medium enterprises during the epidemic.

In an open letter, the International Chamber of Commerce said that small and micro enterprises contributed 90% of the world's gross domestic product and provided more than 50% of the world's jobs, which is crucial to the recovery of the global economy. However, small and medium enterprises are also vulnerable to the impact of economic fluctuations. If the financial intervention measures are not taken immediately, a considerable proportion of small and medium enterprises will not be able to tide over the new crown pneumonia epidemic crisis, which will have an adverse impact on the efficiency of the global employment and supply chain.

In view of this, the International Chamber of Commerce has put forward six "best practices principles" to encourage countries to optimize the relevant supporting measures they have taken to help small and medium enterprises to tide over the epidemic crisis: to guarantee emergency loans that are not exceeding the expected amount at a very low interest rate, to ensure that small and medium enterprises can quickly obtain emergency funds with zero interest rate or low interest rate; to establish a hierarchical loan approval method, to help small and medium enterprises. Enterprises should deal with the liquidity crunch crisis brought about by the epidemic; support the development of basic data ecosystem; use digital solutions to increase financing channels; adopt risk based "understanding of customers" rules to avoid backlog of funds; play the role of supply chain, expand the coverage of tight financing during the epidemic period; and cooperate with chambers of Commerce to strengthen ties with the business community.

The open letter said that speed is the key in helping small and medium enterprises, so it is hoped that governments can provide them with customized financial support as soon as possible through the most commonly used channels of small and micro enterprises, helping them maintain their operations and avoid bankruptcy and layoffs.

The International Chamber of commerce also said it would help to develop and implement these emergency measures through its global network and contacts with other international organizations, so as to ensure that financial support can benefit small and medium enterprises as soon as possible. In addition, we will mobilize all forces to contribute to overcoming the epidemic and ultimately achieving economic recovery.