# China SME support and domestic demand policies > Live situation record from CLSTR: https://clstr.news/situations/china-sme-support-and-domestic-demand-policies > Updated: 2026-09-26T21:32:47.000Z. Sources: 5. Developments: 2. China is implementing various fiscal and financial measures to support small and medium-sized enterprises (SMEs) and stimulate domestic demand. Initial efforts focused on improving financial stability for SMEs through digital accounting reforms and stricter payment term regulations. In the Yantai High-tech Zone, a pilot program using standardized accounting data has enabled businesses to secure loans without traditional collateral. Additionally, regulations in the automotive sector have seen 17 major companies commit to payment terms of no more than 60 days to protect upstream suppliers. Subsequent policy expansions have increased interest subsidies for SMEs, raising the annual limit from 50 million yuan to 75 million yuan and expanding coverage to include new working capital loans for private enterprises. These measures also extend to consumer spending, with increased interest subsidies for large-scale purchases such as automobiles and home renovations. The annual subsidy cap for individuals has been raised from 3,000 yuan to 5,000 yuan to further encourage domestic consumption. ## Timeline ### 2026-09-26: China implements fiscal and financial policies to boost domestic demand China has upgraded fiscal and financial policies to boost domestic demand, increasing interest subsidies for SMEs and consumers to lower financing costs and encourage spending on cars and home renovations. 3 sources. https://clstr.news/cluster/china-implements-fiscal-and-financial-policies-to-boost-domestic-demand ### 2026-09-14: China implements SME financial reforms and automotive payment improvements China is addressing SME financing challenges through Yantai's accounting data credit pilot and improved payment term compliance among major automotive manufacturers. 2 sources. https://clstr.news/cluster/china-implements-sme-financial-reforms-and-automotive-payment-improvements --- Cite as: China SME support and domestic demand policies. CLSTR, https://clstr.news/situations/china-sme-support-and-domestic-demand-policies