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China's banking1 regulator has announced new plans to bolster2 lending to small companies.
A new guideline from the banking regulatory commission is requiring banks to increase the supply of loans smaller than 10 million yuan as fast as any other loans.
Banks will also have to make sure that the number of recipients3 of these loans will not shrink in the future compared to the level a year earlier.
Authorities have had plans to bolster small-sized lending before.
However, nothing had been said as what was to be defined as a small loan.
With more on this, CRI's Victor Ning spoke4 with John Ross, senior fellow with Chongyang Institute for Financial Studies, Renmin University.
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