CHINA. The Hainan Provincial government has unveiled a second stimulus package to boost consumer consumption and assist the island’s duty free retailers, Hainan Daily* reports.
The successful inaugural scheme, entitled ‘Helping Business, Benefiting People and Enjoying Hainan’ saw CNY10 million (US$1.5 million) worth of digital RMB distributed on 1 May.
A similar programme was launched on 25 June through the Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, China Construction Bank, and Bank of Communications. The five banks invested another CNY20 million (US$3 million) in digital RMB to encourage shopping.
The event is being hosted in ten offshore duty free shops run by five businesses – China Duty Free Group, Global Premium Duty Free (GDF) Plaza, Hainan Tourism Investment Duty Free Co, Shenzhen Duty Free Group and China National Service Corporation.
Hainan islanders and Mainland visitors can enjoy discounts when they spend in duty free shops and settle in digital RMB.
Discount coupons are offered on four levels: CNY200 off a CNY3,000 spend; CNY400 off CNY6,000; CNY800 off CNY9,000 and CNY1,100 off CNY 12,000.
The digital coupons cannot be enjoyed together in the same transaction, but can be used alongside existing discounts and promotions offered at the stores.
Provincial Department of Commerce Deputy Director Cui Jian said that as a next step, the department will implement the ‘Hainan Province Action Plan for Stabilising the Overall Economy in Extraordinary Times’, and arrange an additional CNY70 million (US$10.5 million) in due course. The city and county governments will also provide funding support.
*Hainan Daily is owned by Hainan Hinews Media Co, The Moodie Davitt Report’s strategic partner in Hainan province. The two media houses, leaders in their respective fields, have an exclusive information-sharing alliance to bring coverage of Hainan’s booming offshore duty free sector to the widest possible Chinese and international audience.
Footnote: Every fortnight The Moodie Davitt Report publishes Hainan Curated, in association with Foreo, a selection of all recent stories from the offshore duty free sector in Hainan province. Click here to view all back issues. Please email Kristyn@MoodieDavittReport.com to subscribe.
