The central bank of China plans to establish a re-lending program worth 500 billion yuan ($70 billion) in order to provide support to the country’s science and technology sectors, according to a statement.
Read more: China aims for a trillion-yuan aviation industry with focus on the low-altitude economy
Under this program, 21 banks will offer loans to small and midsize technology companies at an interest rate of 1.75 percent. The loans will have a duration of one year and can be extended twice, with each extension lasting up to a year, as mentioned in the statement.
In an effort to address challenges arising from a property crisis and trade disputes with key trading partners, Chinese policymakers aim to enhance liquidity and bolster confidence in the world’s second-largest economy, as reported by Reuters.
According to the State Administration of Foreign Exchange, China’s foreign-exchange reserves experienced a significant increase in March, reaching $3.246 trillion. The reserves further grew by $19.84 billion, representing a growth rate of 0.62 percent. The foreign exchange regulator attributed this rise to a combination of factors, including exchange rate conversion and changes in asset prices.
Moreover, Krishan Gopaul, senior analyst EMEA at the World Gold Council, China’s central bank, added 22 tons of gold to its reserves in just January and February. Currently, the PBC holds approximately 2,257 tons of gold in its vaults. These updates were shared by Gopaul on X, formerly known as Twitter.
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