Chinese banks extend record 3.23 trillion yuan in new loans in January

Chinese banks extended a record 3.23 trillion yuan ($476.87 billion) in net new yuan loans in January, sharply more than expected, as policymakers try to prevent a sharper economic slowdown. Analysts polled by Reuters had predicted new yuan loans of 2.8 trillion yuan last month, up from 1.08 trillion yuan of new loans in December.

Broad M2 money supply grew 8.4 percent in January from a year earlier, also beating forecasts, central bank data showed on Friday. Analysts had expected M2 growth to rise 8.2 percent for the month, compared with 8.1 percent in December. Outstanding yuan loans grew 13.4 percent from a year earlier, above expectations of 13.1 percent but easing from December's rise of 13.5 percent. ($1 = 6.7734 Chinese yuan renminbi)