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The CBRC highlights support for rural financial services in 2010
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[2010-03-24]    来源:CBRC    浏览量:

By the end of 2009, the balance of agriculture-related loans of banking institutions increased by 34.8% to RMB 9.14 trillion from the year beginning. The CBRC emphasizes that the growth rate of agriculture-related loans of any banking institution should be higher than the average loan growth, and newly added balance and its proportion to the total loan volume of agriculture-related loans should be higher than those of last year.
 
In 2009, 4 major breakthroughs have been made in improving rural financial services.

1. New breakthrough in agriculture-related loans. By the end of 2009, rural credit cooperatives have granted loans worth of RMB 16.7 billion to 730,000 qualified farming households for housing reconstruction, and RMB 4.46 billion to 232,000 vulnerable farming households. By the end of 2009, the balance of agriculture-related loans of banking institutions increased by 34.8% to RMB 9.14 trillion from year beginning, among which, RMB 2 trillion were farming households loans with a growth rate of 32.8%.

2. New breakthrough in the coverage of rural financial institutions and financial services. In 2009, new progress has been made to expand the coverage of financial institutions and financial services in remote towns and villages of relevant provinces. For example, Shangdong province witnessed expansion of financial institutions into all its remote towns and counties, while another 9 provinces and municipalities including Zhejiang, Fujian and Chongqing witnessed extended accessibility of financial services in former financial service-strapped towns and villages. By the end of 2009, the total number of villages and towns without financial institutions has been reduced to 2792 from 2945 at the end of June 2009, and the total number of villages and towns without financial services has been reduced to 342 from 708. In total, 5 provinces and municipalities including Beijing have enjoyed full coverage of financial institutions in their respective jurisdictions, and 20 provinces have enjoyed full coverage of financial services.

3. New breakthrough in the nurturing of new-type rural financial institutions. In 2009, the CBRC worked out a plan to establish 1293 new-type rural financial institutions within 3 years ending 2011. By the end of 2009, the CBRC has approved the openings of 172 new-type rural financial institutions, including 148 township or village banks, 8 lending companies and 16 rural mutual credit cooperatives. By now, the balance of deposits of the newly opened rural financial institutions amount to RMB 26.9 billion, and the balance of loans is RMB 18.1 billion, including RMB 6.55 billion to 51,000 farming households and RMB 9.12 billion RMB to 5000 small enterprises, which took up 36.2% and 50.4% of the balance of loans respectively.

4. New breakthrough for the development of rural financial services supporting system. Sustainable operation of rural financial institutions is the pre-condition and foundation for sustainable rural financial services. Therefore, in cooperation with Ministry of Finance, People’s Bank of China, State Administration of Taxation and other relevant government agencies, the CBRC issued a series favorable policies for the rural financial institutions, including, fiscal subsidies to the institutions, rewards for loan growth in county-level financial institutions, preferential bad debts write-off policies for agriculture-related loans and small business loans, pre-tax deduction of provisioning for agriculture-related loans and etc.

In 2010, the CBRC will further provide strong support for rural financial service development in the following areas:

1. Promote the coverage and services of rural financial institutions;

2. Guide the large commercial banks and policy banks to provide financial services to rural areas;

3. Encourage further innovation of rural financial products and services; and

4. Facilitate the synergy of combining banking  and insurance services in rural areas.

atts:

Copyright: China Banking Regulatory Commission
ADDR:Jia N0.15 Financial Street, Xicheng District, Beijing, 100800