China has seen a sharp rise in financial inclusion loans following a push from Beijing for more lending to small businesses.
As of the end of May China’s financial inclusion micro and small-enterprise (MSE) loan balance was 17.07 trillion yuan (approx. USD$2.64 trillion), for YoY growth of 30.53%, according to figures released by the China Banking and Insurance Regulatory Commission (CBIRC).
The growth rate marked an increase that was 18.78 percentage points ahead of general growth in lending in the Chinese banking system.
Financial inclusion MSE loans had reached 28.6342 million customers in China, for an increase of 5.7074 million compared to the same period last year.
The average interest rate for financial inclusion MSE loans extended in the first five months of 2021 was 5.68%, for a decline of 0.2 percentage points compared to 2020.