Financial regulators are ramping up support for the private sector with a new wave of policies that encourage banks to develop tailored financial products and expand lending to micro and small businesses, as authorities seek to improve access to financing and bolster private-sector growth.
The Dalian office of the National Financial Regulatory Administration introduced 17 measures in June, aimed at improving financial services to support the high-quality development of the private economy.
The NFRA's Dalian office has instructed banks to incorporate services for private enterprises into their development plans, clarify development goals and priorities, and stimulate lending for private companies through measures such as credit quota allocation, greater delegation of loan approval authority and performance evaluation incentives. Banks are also encouraged to strengthen innovation in financial services.
The regulator also said it would support self-employed businesses and key private investment projects, while guiding banking institutions to improve financing coordination mechanisms for micro and small enterprises, expand loan renewal programs without requiring principal repayment, and crack down on illegal loan intermediaries, thereby helping private enterprises overcome financial challenges.
