Loan quota raised to aid SMEs

The People's Bank of China, the central bank, has notified all commercial banks that their annual loan quota has been raised to help fund the growth of small enterprises, which have been hit hardest by the credit control measures initiated since last year to curb inflation.

The increase is 5 percent for national commercial banks and 10 percent for local commercial banks, taking into consideration that SMEs make up a larger proportion of their clientele.

The loan quota for each bank is set by the central bank annually.