Jannah Theme License is not validated, Go to the theme options page to validate the license, You need a single license for each domain name.
United Kingdom

China’s top 6 lenders increase lending to support slowing economy

China’s largest state-owned bank increased lending by 22% to $1.3 trillion in the first nine months of the year to help the Chinese economy hit by the coronavirus pandemic lockdown and property market crisis. shows how national groups are directed.

In an announcement tailored to coincide with the president Keynote speech by President Xi Jinping At the opening ceremony of the Communist Party Congress on Sunday, a group of China’s six largest state-owned banks released data showing new lending at 9.53 trillion yuan.

Most of the new cash goes to Xi’s preferred industries, including manufacturing, infrastructure, technology and innovation sectors. four major banks It also revealed that in the first three quarters, funding for “green loans” (financing for clean energy projects) increased by at least 25%.

Of the top six lenders, Industrial and Commercial Bank of China, the world’s largest bank by assets, and Agricultural Bank of China, the third largest lender in China, each delivered RMB 2.2 trillion in loans in the first three quarters of 2022. Did. China Construction Bank and Bank of China issued RMB 2.1 trillion and RMB 1.7 trillion respectively.

Xi, who is now poised to lead China for an unprecedented third five-year term, has promised to accelerate his goal of achieving technological independence. He also vowed to accelerate China’s transition to clean energy.

showing that he was still focused on bridging the gap between the rich and the poor, West “Development is the Party’s top priority and greatest mission,” and China’s “major problem” remains “unbalanced and inadequate development and the people’s growing need for a better life.” ing.

chinese economy Narrowly avoids Q2 contraction as resurgence of citywide lockdowns under President Xi Jinping’s Corona Zero Policy hits consumption and business confidence, exacerbating impact from historic real estate sector downturn Did.

As the Chinese government seeks to support economic growth, state-owned financial groups are also being asked to cut interest rates on loans and mortgages. But despite the infusion of bank loans, China’s state-owned financial institutions have failed to significantly improve business sentiment.

While many experts believe long-term structural problems, such as weakening domestic demand and a housing market crisis, threaten the stability of the Chinese economy, Xi said on Sunday about a change in policy direction. gave no suggestion.

Analysts at Goldman Sachs said the party congress “may not be an inflection point for major policy changes,” and Beijing’s Resistance to more stimulus Boost your growth.

Analysts say there has been less emphasis on the economy, reforms and markets, and more on security and “modernization” compared to Xi’s speech five years ago. increase.

Still, Morgan Stanley analysts said Xi’s speech was “more balanced” compared to some expectations that the leader would make a clearer turn from development to security. said.

“While the Chinese government believes its priorities have shifted in recent years from growth alone to balancing growth with security or sustainability, the Congress has maintained its reform-era doctrine and emphasized that the policy agenda is economic. It eased my concerns about leaving,” they said.

https://www.ft.com/content/7fde9d30-0754-48cd-8502-658c175cd99b China’s top 6 lenders increase lending to support slowing economy

Back to top button