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Chinese authority is temporarily relaxing requirements on loss provisioning at small banks, in a move to boost their lending to small businesses which have been the hardest hit by the coronavirus outbreak.
The China Banking and Insurance Regulatory Commission (CBIRC) recently issued a notice to its local branches which lowered requirement for loan loss provision coverage ratios at mid- and small-sized banks, including city commercial banks and rural commercial banks, in a move to strengthen these banks' capability to lend to small companies, according to a person from a local regulatory authority in a central province . . .
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