China's central bank emphasizes support for small businesses
China's central bank has called upon banking financial institutions to enhance their capabilities of providing financial services to micro, small, and medium-sized enterprises to better support the country's real economy.
Efforts should be made to increase the credit supply to micro, small and medium-sized enterprises, optimize credit products and services to individual businesses, and expand service coverage in inclusive financing, according to a circular released by the People's Bank of China (PBOC).
Banking financial institutions should also develop and continue fine-tuning loan products so as to facilitate the use of funds and reduce the overall financing costs for those enterprises, read the circular.
The PBOC also stressed that all banking financial institutions should enhance their loan pricing capabilities by providing differentiated and precise loans.