217,6 bln dollar loans in January 2014
In January Chinese financial institutions issued a record–breaking amount of loans over the recent four years. This proves that the financial position of the second economy in the world is not so funds-scanty, as expected, according to Reuters.
Chinese banks tripled the amount of loans totaling 217,6 bln dollars as compared with lending in December last year. Besides, their amount even beat the estimates of analysts suggested China would issue loans amounting to only 180 bln dollars.
In experts’ opinion the growth in volume of loans given in January is rather common occurrence for banks striving to consolidate their dominance in the market. Nevertheless, figures for January topped those in the recent period.
One of the reasons is that the China’s banking sector slackened in the second half of a year. Lending growth was the lowest in the nearly one and a half year.
Bank loans are the core direction of China’s money-and-credit policy. All banking operations, volume of credits and repayment period are determined by the government.
