Shanghai recently released a guideline to accelerate the development of its financial leasing sector, hoping that its overall financial leasing assets would account for more than 30 percent of the country's total by 2020.

The guideline, which takes effect as of Sept 1, encourages Shanghai's free trade zone (FTZ) to play a leading role in promoting the industry by setting up a special development fund, building a service base, and establishing a financial leasing asset trading platform.

Financial leasing companies registered in the FTZ will also be allowed to launch cross-border RMB financing and cross-border cash pooling services. Importing and exporting will be made more convenient with priority customs clearance given to those that abide by the rules.

The city also wants to boast a batch of top financial leasing companies by attracting foreign investments and encouraging local companies to expand via mergers and acquisitions.

It is also considered necessary to attract more professional consulting, technology, and asset management service agencies for the financial leasing sector.