Published: 14th October 2015, 18:48 HKT
Below taken from a local news report which highlights the financial and technological innovation in China. Shadow banking brings with it new opportunities for entrepreneurs to raise funds that state banks are unwilling to lend, whilst providing Chinese investors with higher yields that do not involve gambling on the stock market.
A ceremony was held in Foshan on September 19th to celebrate the successful fundraising for China’s first crowdfunded distributed solar power project. The project was placed on the internet crowdfunding platform Ren Ren Chuang by ShunDe SYSU Institute for Solar Energy at the beginning of August, with a fundraising target of 1 million yuan. The target was reached within a fortnight, and by the end of the month had raised a total of 1.82 million yuan.
(Screenshot from http://www.gdrrc.com.cn)
The solar power industry in China has faced fundraising difficulties over the past few years, which its believed is hindering the industry’s development. Guangdong’s Ren Ren Chuang and this kind of project is exactly the sort the Chinese government wants to see making the news these days:
- Heeding the government’s call for “public innovation and creativity”✅
- Adopting technology to upgrade industry✅
- Using the “Internet+” strategy as a fundraising platform✅
- Satisfying SME fundraising needs✅
- Supporting the alternative energy sector✅
N.B. The ‘spotlite’ series shines light on local cases which capture the changes occurring in China’s real economy.