China's central bank and other government agencies on Monday announced 25 measures to step up financial support for the country's private sector, including efforts to diversify financial channels for private businesses, in yet another crucial step to boost the private economy amid challenges.
The latest measures came as Chinese policymakers have in recent months taken a flurry of moves to boost the private sector, which plays a crucial role in the country's economic development, as part of a broader effort to boost the economic recovery amid serious downward pressure.
The measures further demonstrate the country's unwavering support for private businesses and will help boost confidence of entrepreneurs and ensure sound development, businesses and experts said on Monday.
In a joint notice, the People's Bank of China (PBC), the central bank, the National Administration of Financial Regulation, and several other central government agencies said they have introduced 25 specific measures to support the private economy.
The notice highlighted the need to continuously ramp up credit lines to support the development of the private economy, such as increasing the quota for first-time loans and other loans, actively engaging in all types of financial services to industrial and supply chain, and proactively ensuring seamless funding services for the sector.
Banks and other financial institutions are encouraged to meet the financing needs of private enterprises that encounter temporary difficulties but have marketable products, promising projects, and competitive technology in accordance with market-oriented principles, and should not "blindly halt, withdraw or cut off" their loans, according to the notice.
