China's central bank vows to strengthen support to real economy growth

The People's Bank of China, the country's central bank, will focus on supporting the "five priorities" of technology finance, green finance, inclusive finance, pension finance and digital finance, in a bid to spur high-quality development of the real economy, its governor Pan Gongsheng has said.

In an interview with China Central Television, Pan said China has continued to beef up its financial support in recent years, with inclusive loans to micro and small enterprises, green loans, medium- and long-term loans for high-tech manufacturing, and loans for small and medium-sized sci-tech enterprises all growing at an average annual rate of 20-30 percent in the past five years.

"Financing availability has been significantly improved while financing costs are at a historical low. Meanwhile, China's online finance and mobile finance have developed rapidly, playing an important role in improving transaction efficiency, reducing transaction costs, and enhancing financial inclusion, and becoming one of the highlights of the country's financial development," he said.

Data show that there are over 60 million inclusive credit-granting accounts for micro and small enterprises in China, covering about one-third of business entities. The loan approval rate for small and medium-sized sic-tech enterprises is close to 50 percent. In June, the weighted average interest rate of newly issued loans to private enterprises was less than 4 percent.

Pan said the People's Bank of China will further leverage the dual functions of monetary policy tools in both quantity and structure, and strengthen tool innovation to encourage financial institutions to focus on the five priorities. The central bank will encourage financial institutions to increase credit support for key areas and weak links, he said.

"The People's Bank of China will focus on key areas and weak links in major national science and technology projects and small and medium-sized sci-tech companies, give full play to the role of re-lending for sci-tech innovation and technological transformation, and work with relevant departments to cultivate a financial market ecology that supports sci-tech innovation, improve the venture capital mechanism of fund-raising, investment, management, and exiting, and guide financial capital to invest in early-stage businesses, invest in small companies, invest in the long term, and invest in hard technology," he said.

China's central bank vows to strengthen support to real economy growth

China's central bank vows to strengthen support to real economy growth

Portuguese Ambassador to China Paulo Jorge Pereira do Nascimento highlighted the growing trade and investment opportunities between Portugal and China and encouraged Chinese investment in the European country in an interview in Beijing on Wednesday.

Speaking on Portugal's participation in the China International Fair for Trade in Services, or CIFTIS, with a national pavilion for the first time, the ambassador emphasized the country's goal of showcasing the potential of its trade relations with China.

As one of the world's largest and most comprehensive events for the services sector, the five-day CIFTIS opened in Beijing on Thursday. Thirteen countries and international organizations have set up their own exhibitions for the first time at the fair's venue in Shougang Park. Portugal is among them.

"This is the first time we participate in the CIFTIS with a national pavilion. And we intend to show on it, of course, the potential of our trade relations with China, also to show how Portugal is an important and relevant destination for productive investment from China. We do have very positive examples of investment from Chinese companies in Portugal. They have been proved to be useful for not only for Portugal, but also for the Chinese companies that are involved," the ambassador said.

Noting that trade in services between the two countries remains lower than trade in goods, he acknowledged the potential for growth.

"Trade in services, as you said, has been smaller than trade in goods – but this is also a general feature of trade relations in broad terms. Yes, we do have the potential to increase our trade in services. In this respect, I think that, again, the most important thing is probably to make people to know people. I believe that with the increase of people-to-people exchanges, also in cultural domain, in tourism, knowledge, science, technology, this is going to increase necessarily trade in services," the ambassador said.

He stressed the importance of an open economy to foster further investments, which, in turn, would drive innovation and create opportunities for both nations.

"Portugal already has some investments made in China, mostly related to the automotive industry. But we think that any measures that go in favor of opening up of the economy are positive. The economy has to be open to investments. Investment brings innovation. Innovation brings well-being for people, brings jobs, brings knowledge," he said.

Portugal seeks to enhance trade, investment with China: ambassador