New yuan channels to widen funding sources

Cross-border loan services to help lower finance costs for more domestic, overseas companies

Officials said the launch last week of another trial cross-border yuan loan service agreement, signed between Fujian province and Taiwan, will go a long way to widen funding sources and lower finance costs for both domestic and overseas companies in the region.

The government is offering the service to firms operating in a newly established free trade zone in the province, allowing companies and projects registered in Xiamen to borrow yuan from institutions in Taiwan.