What is the policy bottom?

Financial coverage refers to the term used in trust products and is a preferential policy. In other words, a business will pay for itself first, and if there is no money in the end, the government will pay the bill, mostly for social insurance and infrastructure construction.

Because these projects produce no or limited income, or the borrower's financial revenue and expenditure is dominated by the government, ordinary banks take the borrower's direct income as the first repayment source in project risk assessment, but at the same time they still supplement the government's budgetary expenditure as repayment guarantee, and let the government issue a loan commitment letter, called "financial bottom", as a bank's risk prevention measure.