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MNI POLICY: China Policy Bank Ups Loans to Exporters By Half

MNI (London)
     BEIJING (MNI) - One of China's leading policy banks increased to export
businesses by half over last year, helping companies over the worst impacts of
the global slowdown, interrupted supply chains and the dip in domestic demand as
the pandemic spread in the first half of the year, a leading bank official said
     The Export and Import Bank of China (Exim), one of three big China policy
banks, boosted loans for export firms to CNY904.7 billion in H1, an increase of
around 50% on last year, Wu Fulin, president of The Export and Import Bank of
China (Exim), told a press conference held by China's Banking and Insurance
Regulatory Commission.
     The bank will also "actively negotiate" with developing countries, offering
postponements on loan payments to help promote the Belt and Road Initiative, he
     Industrial and Commercial Bank of China (ICBC), the biggest bank in China,
disclosed that it allowed 31,700 small firms to postpone loan payments totalling
CNY37.7 billion. New loans to smaller companies, or inclusive financing loans,
stood at CNY168.4 billion in the H1, up 35.7% from last year, with interest
rates at 4.15%, 37 bps lower from last year, according to Gu Shu, the president
of ICBC.
     "If taking fee cuts (offered by the bank) into account, the overall
financing costs of small and micro firms was lowered by 87 basis points (from
last year)," Gu added.
     China's Premier Li Keqiang has said financial institutions in China were
required to cut profits, helping the real economy to the tune of CNY1.5 trillion
this year.
--MNI London Bureau; tel: +44 203-586-2225; email:
[TOPICS: M$A$$$,M$Q$$$]
MNI London Bureau | +44 203-865-3812 |
MNI London Bureau | +44 203-865-3812 |

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