China Boosts Private Sector Credit Supply

China plans to increase credit supply to private enterprises and reduce their financing costs. Li Yunze, head of the National Financial Regulatory Administration, announced an approval of an additional 60 billion yuan under a pilot program aimed at fostering long-term insurance fund investments in capital markets.

China is set to boost the credit supply to private enterprises and reduce financing costs, according to Li Yunze, who heads the National Financial Regulatory Administration. This move is aimed at strengthening the private sector's financial standing.

In a significant step, China has given the green light to an additional 60 billion yuan under a pilot initiative, which permits insurance funds to make long-term investments in capital markets. This approval is indicative of China's ongoing commitment to financial market expansion.

The recent development signifies a strategic effort by the Chinese authorities to bolster private enterprises through improved access to credit and more favorable finance options, thus ensuring a robust economic environment.

(With inputs from agencies.)