Consumer credit plan expanded

Increase in small loans designed to improve spending among low-to mid-income earners

China will expand a pilot consumer credit service that offers small loans with no collateral to encourage more spending, especially from lower-income groups, amid sluggish demand.

An executive meeting of the State Council presided over by Premier Li Keqiang approved on Wednesday the expansion of the program from 16 cities to the entire country, saying that consumer finance that mainly serves people with low to medium incomes will release their spending potential.