The People’s Bank of China (PBOC) has issued a new directive calling for increased financing for the cultural and tourism sectors, in response to a raft of stimulus measures unveiled by the central government in May.
On 26 July PBOC and the Ministry of Culture and Tourism (MCT) jointly issued the “Notice on Financial Support for the Recovery and Development of the Cultural and Tourism Sectors” (关于金融支持文化和旅游行业恢复发展的通知).
The Notice calls for “pragmatically improving financial services for cultural and tourism enterprises, stabilising staff teams, expediting the recovery and development of the cultural and tourism sectors as soon as possible, and employing the key role of the cultural and tourism sectors in accelerating new development conditions and driving high-quality development.”
The Notice also highlights the combined use of both quantitative and structural monetary policy tools, the maintenance of rationally ample liquidity, as well as re-loan and re-discount monetary policy tools to guide banks to improve and strengthen credit services for cultural and tourism enterprises.
“[Banks] must further expand financing channels for cultural and tourism enterprises, and expand the intensity of support for qualified cultural and tourism enterprises to issue bonds,” the Notice said.