China on Thursday asked companies that guarantee debt to support the financing needs of micro businesses and the rural sector, in the latest example of government support for cash-strapped sectors amid economic cooling.

The State Council-issued circular bans debt guarantors from several activities, including:

-expanding their business scope beyond their initial focus

-offering guarantees to local government bonds

-enhancing the creditworthiness of financing activities by local government financing vehicles

-taking stakes in non-financing-guarantee companies.

The circular also requires such firms to gradually reduce their business with large and medium companies, and ensure that more than 80% of their guarantees are used to support micro businesses and the rural sector.

Micro businesses and the rural sector are usually less favored by banks or financial guarantee companies due to higher credit risks compared to state-owned giants and other sectors. The situation intensified significantly in 2018 as China’s economic growth weakened to a nearly three-decade low, and an ongoing leverage crackdown and trade frictions with the U.S. dented sentiment among small and private businesses.

Related: China Announces New Measures to Support Consumption

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