Funds, debt measures likely to aid firms more

Analysts say new policies will continue to broaden financial channels for small and private companies this year, as policymakers look to balance responsible lending with the need to guide adequate funds into dynamic parts of the real economy.

Their words come after a top-level comprehensive guideline last week explored diversified fundraising methods, including boosting the role of non-bank financial institutions.

Direct financing, such as capital raising activities through stocks and bonds, could play a bigger role to increase the flow of funds into small businesses and the private sector, and serve as a supplement to the long-term denominated 260 trillion yuan ($38.4 trillion) banking sector in China's financial system, said a guideline, issued by the Communist Party of China Central Committee and the State Council on Thursday night.