On November 18, Director of Shanghai Municipal Intellectual Property Office (IPO) Lv Guoqiang expressed while delivering speech at China Intellectual Property Rights (IPR) Broker Forum that, related departments in Shanghai have been studying the establishing work for risk sharing mechanism, under which guarantee companies could become the obligee to obtain credits from banks after receiving IPRs pledges from enterprises.

“In the past, banks just received IPRs pledges directly from enterprises, which has been proved to be unfeasible,” explained Lv. Meanwhile, he expressed that the establishment of the risk sharing mechanism is just the countermeasure; once risks happen, the guarantee company will undertake 85% of the risk, banks share 10% and the left 5% is for the assessment institution. This will solve the problem faced in respect of IPR pledge loans.

Lately, Shanghai, Wuhan, Tianjin, Jinan and other cities all fully start the implementation of IPR pledge loans.

It is learnt that, Shanghai issued in August “Implementing Opinions on Facilitating Work on IPR Pledge Loans”, set up Shanghai Joint Conference on Facilitating IPR Pledge Loans, and planed to set up corresponding service platform. On October 11, Shanghai IPR Transaction Center was set up. 
                                                                                                Source: IPR in China