One of China’s big three policy banks has stepped up lending to the Chinese energy sector since the final quarter of 2021, amidst concerns over power supply security and fluctuations in commodities prices.
China Development Bank (CDB) said to state-owned media that since September 2021 it has made supporting China’s energy supply a key focal point.
“Since the second half of last year, multiple places in China have seen tightened energy supplies,” said a CBD spokesperson on 10 March.
“CBD began to provide special loans at the start of September, targeting in particular support for coal producing regions and key coal enterprises to increase coal supply and support energy supply.”
“At present we have made special loans of 123 billion yuan (USD$19.46 billion) to help guarantee energy supply, and support coal enterprises in increasing production and supply…this has involved around 1 billion tonnes of coal production capacity.
“We have helped coal power enterprises to procure coal, increasing national coal reserves for coal-fuelled power plants by over 10 days.”