China extends interest subsidies, introduces new loan incentives to boost demand

China will extend interest subsidies ‌for consumers, service businesses and those in ⁠need of equipment upgrades to revive softening domestic demand, the country's finance ministry ​said on Tuesday.

The subsidies will ‍be extended to the end of 2026 and the ministry will also ⁠roll ‌out ⁠interest subsidies for up to two years ‍for loans extended to small ​and micro-sized private firms from this ⁠year, according to statements on its ⁠website.

It also introduced a guarantee plan totalling 500 billion yuan ($71.83 ⁠billion) over two years for private ⁠investment. ($1 = ‌6.9605 Chinese yuan renminbi)