BEIJING, Aug. 12 (Xinhua) -- China's Ministry of Finance (MOF) said on Tuesday that eight categories of eligible service sector businesses will benefit from a new loan interest subsidy policy action plan recently unveiled by nine government departments, including the MOF.

The action plan targets service sector businesses in the categories of catering and accommodation, health care, elderly care, childcare, housekeeping, culture and entertainment, tourism and sports, according to the MOF.

To qualify for the subsidy, loans must be extended between March 16, 2025 and December 31, 2025 -- and loans must be used for improving consumption infrastructure or service supply capacity.

Under the plan, borrowers may receive interest rebates of 1 percentage point annually for no more than one year, with the central government covering 90 percent of subsidies and provincial authorities responsible for the remaining 10 percent. The maximum loan amount eligible for subsidies per operator is 1 million yuan (about 140,000 U.S. dollars).

A total of 21 banks have been designated to implement the plan -- with qualifying borrowers applying directly to these banks.

The plan forms part of China's broader efforts to stimulate services consumption and cultivate new growth drivers. Enditem