Wei Zhe, the CEO of China's B2B service provider Alibaba, announced at the inaugural ceremony of the Credit China Year that Alibaba will spend CNY1 billion setting up a small enterprise credit guarantee fund to promote the construction of a business credit system in China.
Wei said that as a core event of the Credit China Year — an initiative aiming to boost credibility among Chinese enterprises — Alibaba will initiate the CNY1 billion credit guarantee fund and grant the fund to small and medium size enterprises with good credit records with the aim of building a business credit system in China. Wei believed that with a total of more than 500,000 enterprises users, Alibaba's credit system will be widely recognized by the public.
In addition to establishing the fund with money from its own resources, Alibaba is encouraging SMEs to pay deposit to participate in the construction of the credit system. It said that any companies that are registered with Alibaba are eligible to enjoy Alibaba's pay-in-advance policy for transaction disputes.
