MNI POLICY: PBOC Urges Banks to Better Treat Private Firms

     BEIJING (MNI) - China's central bank on Wednesday called for lenders to

boost credit to private small and medium-sized businesses and better serve the

needs of economic restructuring and growth. 

     In a meeting with 30 city commercial banks in Zhejiang province, People's

Bank of China Deputy Governor Pan Gongsheng told lenders to treat private

companies equally with state-owned enterprises(SOEs). Banks must improve

services to private firms such as boosting credit sources, granting approval

rights and setting performance assessment standards.

     Banks should also make good use of information technology to keep up with

the financial needs of the private industry and be innovative in setting

collaterals, guarantees and terms, Pan said.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

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