Five Big State-owned Banks Provide $64 Billion in Special Financing to Hubei Province Following COVID-19 Outbreak

 -  -  394


Five of China’s leading state-owned banks are stepping up lending to the province of Hubei where the COVID-19 pandemic first emerged.

On 8 April the Chinese government lifted its lockdown on Hubei-province capital of Wuhan, signalling the beginning of efforts to restore the regional economy following the spread of COVID-19.

China’s big state-owned banks are playing a key role in these efforts, with five of them providing special financing to plans to restore the Hubei economy worth at least 455 billion yuan (approx. USD$64.37 billion) in total.

This amount includes:

  • China Construction Bank: 120 billion.
  • China Development Bank: 100 billion yuan.
  • Agricultural Development Bank: 100 billion yuan.
  • Industrial and Commercial Bank of China: 100 billion yuan.
  • Export and Import Bank of China: 35 billion yuan.

21st Century Business Herald estimates that nine of the leading Chinese state-owned banks (the three policy banks and the big six state-owned banks) could collectively be directing as much as 819 billion yuan in special financing to Hubei province to help it cover from the impacts of COVID-19.

This amount is in excess of the full-year new lending amount for Hubei province in 2019, which was 632.3 billion yuan according to figures from financial data provider Wind.

Related stories

SAFE Ex­pands Tri­als for Cross-bor­der Fi­nanc­ing by Small Tech Firms to Shang­hai and Hubei

Banks Re­duce Rates 0.5 Per­cent­age Points for MSE Loans in Coro­n­avirus-hit Hubei Province

MY­Bank Pro­vides In­ter­est Free Loans to 360,000 Ven­dors in Wuhan as City Emerge from Lock­down

39 recommended
comments icon 4 comments
4 notes
388 views
bookmark icon

Write a comment...

Your email address will not be published. Required fields are marked *