Youth Entrepreneurship Requires More Feasible Financial Support.

Zhou Qihong, a teacher of the law department of Minzu University of China, has some "alternative" in his school, because he has not only completed his daily teaching and research tasks, but also a special "professional title" - lecturer in entrepreneurial guidance.

Despite the fact that there are some studies on entrepreneurship among college students, Zhou Qihong can not explain exactly what a college student should do if he wants to apply for a small business loan to a successful loan.

As a career guidance teacher for a year, he has not guided a college student to apply for loans from beginning to end. Most of the applications have been aborted. "On the one hand, students are unable to provide mortgage or guarantee. On the other hand, banks, industry and Commerce and other relevant departments are not very cooperative."

Members of the CPPCC National Committee of the CPPCC have noticed the above problems. The proposal of the financial support from the Communist Youth League Committee to further strengthen the financial support for young entrepreneurs is pointed out by the Communist Youth League Committee. There are 3 main problems in the current micro credit projects for youth entrepreneurship: first, how to make loans for young people who lack collateral, pledge and guarantee; two, how to improve the enthusiasm of financial institutions such as commercial banks to grant small loans; and three, how to mobilize the participants of small loans to form a joint effort.

"To start a business, it is important to have the will, ability and conditions. What the government can do is not to change the will, but to provide the conditions."

In the interview with the China Youth Daily, Wang Xiao, executive secretary of the Central Secretariat of the Communist Youth League and chairman of the National Youth Federation, pointed out that financing difficulties had become a bottleneck restricting youth entrepreneurship.

Wang Xiao said that at the end of last year, the Central Committee of the Communist Youth League and the China Banking Regulatory Commission jointly issued a document for young entrepreneurs' small loan projects, and made some innovations in financial guarantee mode.

But in order to give full play to the role of institutional innovation, we need further support from all sides.

The proposal of the Central Committee of the Communist Youth League should focus on giving more incentives and necessary cost support to some specific financial institutions to enhance the feasibility, operability and universality of financial products and financial services.

First, the financial policy of supporting young entrepreneurs, especially small and medium-sized enterprises, was introduced from the national level.

The Central Committee of the Communist Youth League recommends that the main body responsible for microfinance work be identified, the responsibilities of all participating units should be clearly defined, the power of all aspects should be co ordinated, and the reality of the government, financial institutions and entrepreneurs should be taken into consideration, so as to encourage the innovative design of financial products.

Secondly, with appropriate incentives, we should mobilize financial institutions to develop the initiative of small loans to support young entrepreneurs.

Public finance can provide credit risk compensation for financial institutions by means of discount, subsidy and guarantee fees. It can also provide guarantee for young entrepreneurs through the establishment of public welfare guarantee institutions and guarantee centers through financial funds. It can explore the establishment of risk prevention mechanisms jointly undertaken by governments, banks and young people. Through administrative means, such as through the development of new outlets and new businesses, we should increase the guidance for young entrepreneurs' small loan work, and we can make financial discount on young entrepreneurs' small loans.

In addition, the Central Committee of the Communist Youth League has also brought forward two proposals: "vigorously promoting labor training, enhancing the level of labor skills of the unemployed" and "drawing more attention to the role of policies in employment".

Du Jun, editor in chief: