Core Insights - The implementation of carbon reduction support tools in Yichun City has significantly boosted local green development and created new demands for low-carbon transformation among enterprises [2][4]. Group 1: Financial Support and Impact - A local environmental company received an 8 million yuan loan for its rooftop distributed photovoltaic project, with a loan interest rate reduced by 109 basis points, which alleviated financial burdens and enabled project execution [1]. - As of June 2025, Yichun City has issued loans totaling 3.483 billion yuan under the carbon reduction support tool, ranking second in the province, with a green loan balance of 91.691 billion yuan, reflecting a year-on-year growth of 22.96%, surpassing the overall loan growth rate by 17.57 percentage points [1]. Group 2: New Demand for Low-Carbon Transformation - The introduction of carbon reduction support tools has led to an increased willingness among enterprises to pursue carbon reduction projects, overcoming previous financial constraints [2]. - The nature of carbon reduction projects, such as pumped storage power stations and photovoltaic power generation, often requires significant investment and longer construction periods, leading to a greater demand for financing compared to traditional projects [2]. Group 3: Financial Institutions' Response - Financial institutions in Yichun have optimized credit approval processes, reducing the average time from project initiation to loan disbursement from 40 working days to under 20 [3]. - New long-term credit products with repayment terms of up to 30 years have been introduced to accommodate the unique needs of carbon reduction projects, easing repayment pressures for enterprises [3]. - Financial institutions are actively promoting loan applications to ensure that eligible carbon reduction loans are fully reported, allowing enterprises to benefit from policy incentives [3]. Group 4: Central Bank Initiatives - The People's Bank of China in Yichun has established a project database focusing on key areas such as clean energy and carbon reduction technologies, facilitating better project identification and support [4][5]. - A communication mechanism has been set up to promote the use of carbon reduction support tools, including policy outreach and direct engagement between financial institutions and enterprises [5].