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China’s central bank on Wednesday held an online meeting with financial regulators, corporations and lenders and it urged financial institutions to step up lending to private companies, as part of efforts to bolster the sluggish economic recovery.
Officials from from the National Financial Regulatory Administration, the Shanghai Stock Exchange, and the Shenzhen Stock Exchange, etc, according to state-owned media Securities Times.
Ma Jianyang, deputy head of the financial market department at the PBOC, said at the meeting that relevant financial departments are formulating policy documents to promote financial support to the private businesses, the report said.
The central bank will ask financial institutions to set annual targets for services to private firms and vigorously expand loans to companies that are borrowing for the first time, Ma said.
The PBOC will smooth financing channels including stocks, bonds and bank loans, and guide financial institutions to increase loans and support more bond issues by private companies, he added.
The central bank will maintain reasonable and sufficient liquidity and more financial resources will be directed to private enterprises and small and micro-sized enterprises, said Pan Gongsheng, Governor of the PBOC.
Representatives from five private companies including Wencan Group, Hengtong Group, Titan Wind Energy, DQY Ecological and Haomi Group and five financial institutions including ICBC, CCB, Citic Bank, Bank of Beijing and China Export & Credit Insurance Corp (Sinosure) made speech at the meeting.
In addition, representative from other banks along with more than 20 representatives of private enterprises from sectors of real estate, traditional manufacturing, agriculture, new energy and high-tech also attended the meeting.
Private enterprises play an indispensible role in the nation’s economic development, contributing to a wide range of sectors from employment to trade.
In July, Chinese authorities issued a guideline on boosting the growth of the private economy, promising to improve its business environment, enhance policy support, and strengthen the legal guarantees for its development.