According to the statistics released by the State Intellectual Property Office (hereinafter SIPO), 2011 witnessed a total of 1,953 patents pledge with a value of 9 billion Renminbi yuan, an increase of 28% over the same period as compared to the previous year.
In recent years, the State Intellectual Property Office (hereinafter SIPO) made a lot of efforts in the financing through IP fights. Over the past 3 years, a total loan of 20 billion RMB yuan were provided by pledging the IP rights. The IP financing gave a strong support to the operation and development of small and medium sized enterprises.
The trial of IP pledge financing was first initiated in 2008. In 2010, SIPO, Ministry of Finance and the China Banking Regulatory Commission jointly issued the Notice of Strengthening the IP assets Pledge and Asset Administration, Support the Development of Small-medium Sized Enterprises. In 2011, SIPO carried out Strategic Cooperation Agreement with Bank of Communication to assist the financing of SME for their further development.
At present, the State Intellectual Property Office and the China Banking Regulatory Commission are studying and drafting the Guidelines of Intellectual Property Loan by Financial Institutions in Banking Industry, which will provide guidance to the banking industry to develop and regulate the loan business through IP pledge.
