Three local governments temporarily relax rules on micro-lenders' leverage, more regions expected to follow suit

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Three local governments have temporarily relaxed rules on micro-lenders, raising the cap on their leverage ratio, in a move to boost lending to small businesses which are hard hit by the coronavirus outbreak.

On Feb. 21, the local financial regulator in eastern China's Shandong province said it "encourages micro-lenders and private capital management companies to increase lending to small businesses involved in production and transportation of essentials for the fight against the coronavirus outbreak and to small companies hard hit by the epidemic".

To strengthen micro-lenders' capability to lend more, "quality . . .

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