Summary of Key Points
As the first national pilot area for scientific and technological innovation (STI) finance reform, Jinan has, over more than four years of exploration, broken away from the traditional financial model that relies on financial statements and collateral. It has established a financial system tailored to the needs of STI: from redefining financial evaluation criteria (transforming intangible assets such as talent, data, and intellectual property into “credit assets”) to providing full lifecycle financial support for STI companies from their inception to listing. Additionally, Jinan has implemented a set of six specialized systems (including dedicated services, exclusive policies, and specialized funds) that have led to an increase in the number of STI enterprises, expanded the scale of technology-related loans, and enhanced the city’s research competitiveness. Its approach is now being replicated across the country.
1. How do low-asset STI companies obtain funding? – The revolution from focusing on financial statements to embracing the future
Traditional bank lending prefers companies with tangible collateral and good financial records, but most STI companies have limited assets (lacking factories or equipment for collateral) and face high risks (due to significant upfront research costs). Jinan’s solution is to assign value to these intangible assets, making it easier for banks to grant loans:
- Converting government data into credit: The “Quanrongtong” platform has been established to turn government-held data on healthcare, social security, and taxes into creditworthiness indicators for companies. This eliminates the need for companies to repeatedly obtain certifications from various departments; banks can quickly assess a company’s creditworthiness through this platform. To date, the platform has facilitated over 66 billion yuan in loans.
- Turning intellectual property into cash: Companies with patents can use them as collateral for loans and receive interest subsidies, potentially reducing financing costs to zero. For example, if you have an invention patent, you can use it as collateral to obtain a loan, with the government covering part of the interest and guarantee fees. By 2025, Jinan had achieved 5.8 billion yuan in patent-related loans, the highest amount in the province.
- Talent as credit: High-level talent teams can access loans without providing collateral through programs like “Talent Loans” and “Talent Insurance.” For instance, a team of doctors conducting research can receive a loan based on their qualifications. As of May 2026, the recorded amount for “Talent Loans” amounted to 1.256 billion yuan.
2. How does finance support STI companies throughout their growth? – Precise support throughout the entire lifecycle
STI companies require different amounts of funding at various stages of development, and Jinan has tailored solutions for each:
- Start-up phase: Government-led angel funds (nearly 30 billion yuan) and encouragement from larger companies to invest in startups (providing both capital and orders).
- Growth phase: Banks have introduced 116 specialized products such as “Research Loans” and “Science Stock Loans,” accepting even the pledge of trade secrets. For example, the Hengfeng Bank granted a 5 million yuan loan to the Zhongke Lijiu Robotics company based on its technology and market potential during the pilot production phase.
- Maturity phase: Jinan’s unique “four-in-one” capital market service base helps companies go public; there are currently 7 STI companies listed on the Jinan Science and Technology Innovation Board (the highest number in the province, with Tianyue Advanced going public before generating profits). The city has also facilitated 38.9 billion yuan in STI bonds issued by companies since 2025, the highest amount in the province.
3. Collaborative approach rather than individual efforts – The “six specialized systems” for institutional support
Jinan’s reform relies on a comprehensive system of dedicated institutions and policies:
- Dedicated financial institutions: Banks specializing in STI finance, such as the Science and Technology Innovation Finance Center branch of Qilu Bank, which offer one-stop services including roadshow halls and product displays, working in conjunction with investment firms and securities companies.
- Fault-tolerant mechanisms: If bank staff encounter issues with STI loans, they are exempted from responsibility under certain conditions (e.g., if the failure is due to technological iteration). Additionally, banks receive up to a 50-basis-point subsidy on the cost of these loans, and these loans carry higher weight in performance evaluations, motivating staff to engage in such lending.
- Specialized policies and legal framework: Jinan provides financial incentives and monetary policy tools, and is drafting regulations to solidify its reform efforts.
4. What are the results of the reform? – Enhanced city competitiveness
The reforms have not only helped companies obtain funding but also improved Jinan’s STI capabilities:
- Financial figures speak for themselves: As of May 2026, the balance of technology-related loans reached 663.1 billion yuan, a year-on-year increase of 19%. The number of STI companies grew from 6,834 in 2021 to 11,000 in 2025, and the total market value of listed companies on the Science and Technology Innovation Board exceeded 100 billion yuan.
- Enhanced city competitiveness: Jinan ranked 27th in the 2025 Global Research Cities list by Nature magazine, up 30 places from 2021, indicating that the financial support has genuinely boosted its research strength.
In summary, Jinan’s STI finance reform focuses on institutional innovation, enabling financial institutions to recognize the future potential of STI companies and encouraging investment. This approach aims for a win-win situation for companies, the financial sector, and the entire city.
(The translation maintains the original Markdown structure, using clear and natural language suitable for financial journalism, while adapting expressions to fit the target audience.)