Boosting financial support for private firms: the People’s Bank of China takes action

The People’s Bank of China has issued a notice to strengthen financial support for private firms

  • support private enterprises in listing and financing, mergers and
    acquisitions, and restructuring

  • to use monetary policy tools, fiscal subsidies to incentivize
    financial institutions to service private companies

  • China supports M&As, IPOs, refinancing by private firms

  • vows to boost bond issuance by privately owned firms


  • encourage lenders to not to cut or suspend loans for private
    companies facing temporary difficulties but have competitive
  • to reasonably meet
    the financing needs of private property companies

Indications of further support from the PBOIC is a positive for risk assets related to China, such as CHinese stocks, AUD etc. 


This article was written by Eamonn Sheridan at Source