China Expands Financial Support to Private Enterprises

China plans to enhance credit supply to private enterprises, aiming to reduce their financing costs. Li Yunze of the National Financial Regulatory Administration announced a 60 billion yuan expansion for insurance funds under a pilot program for long-term investments in capital markets.

In a bold move to bolster the financial landscape for private enterprises, China has announced plans to increase credit supply and reduce financing costs. Li Yunze, the head of the National Financial Regulatory Administration, made this announcement on Wednesday.

Aiming to stimulate economic growth, China has approved an additional 60 billion yuan under a pilot program. This initiative will allow insurance funds to engage in long-term investments within capital markets, providing a robust foundation for future economic activities.

With the current exchange rate standing at $1 to 7.2602 yuan, this financial injection offers significant potential for private firms looking to expand their investments and mitigate financial hurdles.

(With inputs from agencies.)