In a strategic move to bolster the emerging ice and snow economy, China has unveiled comprehensive financial support policies aimed at expanding financing channels and reducing borrowing costs for businesses in this sector. The new measures, part of the State Council's recently issued Guidelines on Promoting High-Quality Development of the Ice and Snow Economy, mark the first time targeted financial policies have been proposed to address the unique funding challenges faced by ice and snow enterprises.

The guidelines emphasize enhancing credit access and encouraging financial institutions to innovate within the framework of compliance and risk management. Specifically, financial institutions are urged to develop new products tailored to the industry's needs, such as increased loan offerings and optimized credit rating and approval processes. Additionally, streamlined post-loan management processes are expected to simplify operational requirements, ensuring more efficient capital flows for companies engaged in the ice and snow economy.

Beyond these measures, China is working to broaden financing avenues for eligible businesses. The guidelines support qualified enterprises in seeking public listings, refinancing, and issuing bonds or asset-backed securities, providing them with diverse pathways for capital raising. Local governments are also encouraged to reduce financing costs by offering subsidies, policy-backed guarantees, and risk compensation mechanisms—solutions expected to alleviate the high costs and barriers to credit access historically challenging the sector.

According to projections, the ice and snow economy is poised to become a significant driver of national economic growth. In 2023, the industry's scale reached ¥890 billion ($125 billion USD), up from ¥800 billion in 2022. By 2027, the economic output of the sector is expected to reach ¥1.2 trillion (approximately $169 billion USD), with further expansion to ¥1.5 trillion ($212 billion USD) anticipated by 2030. With over 3.13 million people now participating in ice and snow sports, the sector is positioned to drive employment, regional development, and tourism in key areas, fulfilling China's goal of transitioning "cold resources" into a "hot economy."

At a recent State Council policy briefing, Li Jing, Deputy Head of China's General Administration of Sport, highlighted the significance of these initiatives. “This is the first time financial support policies have been introduced specifically for the ice and snow economy. These measures are pivotal in addressing the high financing costs and funding challenges that ice and snow enterprises have long faced,” Li remarked.

The targeted financial support, together with infrastructural improvements and cultural initiatives, underscores China's commitment to developing the ice and snow economy as a key driver of domestic demand and regional growth. These policies represent a significant milestone in China's long-term vision of creating a sustainable and internationally competitive ice and snow economy, ultimately contributing to the nation's high-quality development goals.