GUANGZHOU, Oct. 23 (Xinhua) -- South China's Guangdong Province has stepped up financial support for the real economy. Besides mortgage loans, Guangdong has launched credit-based loans in order to ease the financing difficulties of small and micro enterprises.
According to statistics from the Guangzhou Branch of the People's Bank of China (PBOC), in the first nine months of the year, the proportion of Guangdong's credit-based loans in the balance of the inclusive loans received by small and micro enterprises rose to 24.2 percent.
For a long time, small and micro enterprises have lacked collateral for loans. "With the development of fintech, banks can make use of big data to establish credit models for small and micro enterprises and form accurate reports. Meanwhile, they have continued to innovate in loan methods. All of these have laid a solid foundation for the development of credit-based loans for small and micro enterprises," said Wang Yirong, deputy director of the Survey and Statistics Department of the Guangzhou Branch of the PBOC.
Data showed that as of the end of September, a total of 1.87 million small and micro enterprises had got loans in Guangdong, up 214,800 from the end of the previous year. The balance of the inclusive loans received by small and micro enterprises stood at 1.99 trillion yuan, marking a year-on-year increase of 36.2 percent.
"Viewing from the structure of the medium and long-term loans in Guangdong's manufacturing industry, they are mainly concentrated in the electronics, medicine and mechanical equipment industries, which boast strong vitality and obvious advantage. Generally speaking, the growth of manufacturing loans in Guangdong is in line with its economic development," said Wang.
At the same time, Guangdong has enhanced its financial support for stabilizing enterprises and ensuring employment.
Apart from monetary policy tools, Guangdong has tried to defer loan payment for enterprises. From June to September, the principals of the small and micro enterprises that received inclusive loans and were allowed to defer their payment of principals and interests amounted to 21.6 billion yuan, involving 11,500 enterprises. (Edited by Zhang Yuan with Xinhua Silk Road, email@example.com)