Chinese banks extended over USD$1.1 trillion in new loans in the first quarter of 2021 according to the latest data from the People’s Bank of China (PBOC).
In the first quarter China saw loans increase by 7.67 trillion yuan (approx. $1.17), 574.1 billion yuan ahead of the figure for the same period last year.
As of the end of March the renminbi loan balance was 180.41 trillion yuan, for an increase of 12.6% compared to the same period last year.
“Since the start of this year, financial institutions have provided stable support to the real economy, and loans have grown steadily and rationally, effectively satisfying the demand for credit in the real economy,” said Sun Guofeng (孙国峰), head of the People’s Bank of China’s (PBOC) Monetary Policy Department.
In the first quarter of 2021 China’s total social financing (TSF) increase was 10.24 trillion yuan, for a decline of 873 billion yuan compared to the same period last year.
As of the end of March, China’s outstanding TSF was 294.55 trillion yuan, for a YoY increase of 12.3%.
The M2 money supply balance was 227.65 trillion yuan as of the end of March, for a YoY increase of 9.4%.