Published September 7th, 2026 - 08:02 GMT
ALBAWABA - The Chinese government is dumping tens of billions into eight state-owned banks and insurance companies to boost its financial system and economy.According to the state news agency Xinhua on Sunday, the cash injection being led by the Chinese Finance Ministry will total 360 billion yuan or $53.6 billion, adding that the move "will help further enhance their sound operating capabilities, risk resistance capabilities, and ability to serve the real economy".China’s efforts are meant to battle recent trade tensions with the West, the impact of the Iran war and an aging population – attempting to keep the world’s second largest economy afloat by any means possible.Those on the receiving end of the financial boost are three big lenders and five insurers including the Industrial and Commercial Bank of China, the Agricultural Bank of China and China Export & Credit Insurance Corporation.The move "will give banks and financial institutions more resources to channel into credit for the real economy, while strengthening their ability to withstand external shocks at a time of global financial uncertainty,” the state news agency Global Times said.
