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China central bank to set up $70 billion tech re-lending programme

Published 04/07/2024, 01:26 AM
Updated 04/07/2024, 02:06 AM
© Reuters. FILE PHOTO: Paramilitary police officers stand guard in front of the headquarters of the People's Bank of China, the central bank (PBOC), in Beijing, China September 30, 2022. REUTERS/Tingshu Wang/File Photo
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BEIJING (Reuters) - China's central bank will set up a 500 billion yuan ($70 billion) re-lending programme to support the country's science and technology sectors, according to a statement released on Sunday.

The programme will offer loans via 21 banks to small and midsize technology companies at an interest rate of 1.75%. The one-year loans can be extended twice, for up to a year each time, the statement said.

© Reuters. FILE PHOTO: Paramilitary police officers stand guard in front of the headquarters of the People's Bank of China, the central bank (PBOC), in Beijing, China September 30, 2022. REUTERS/Tingshu Wang/File Photo

China's policymakers look to boost liquidity and increase confidence in the world's second-biggest economy amid headwinds from a property crisis and frictions with major trading partners.

($1 = 7.2330 Chinese yuan renminbi)

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