.contact us |.about us
News > Business News ...
Search:
    Advertisement
Small firms need better work to attract loans
( 2002-09-02 10:39) (1)

Small and medium-sized enterprises have become the most active economic force in China with its production value accounting for 65 per cent of the country's total.

These firms have become more important as they have created numerous job opportunities for laid-off workers from State-owned enterprises.

But their development has been blocked by a shortage of funds due to limited access to bank loans. Only 20 per cent of the country's total loans flow to small firms.

Responding to their cries for more funds, the central bank last month urged commercial banks to expand their loans to small firms.

For sure, the central bank's push will surely drive some funds from banks to small enterprises, but the fast expansion of cash can not be expected in the near future.

As the State-owned banks, which occupy more than 70 per cent of the total credits, are focusing on reducing non-performing loans and credit risk, it would be very difficult for them to sharply increase their loans to small firms.

Loans to small firms mean more risk as most of the small firms have no assets for mortgage or could not find big firms to provide guarantees for them.

Furthermore, pursuing profits has made large banks reluctant to offer loans to small firms as the cost for a large sum of credit is almost the same as offering small credits.

To realize sustained development for the national economy, fast growth of small firms is a must and more credits are needed. But it is not a proper way to have large banks bear more risk.

Efforts should be made on both sides, the firms and the banks, to change the dilemma.

First, the small firms should strive to improve their credibility and finance transparency to make banks have more interest and confidence in supplying their credits. A national system measuring the credibility of small firms should also be established.

Second, small banks, like private banks, should have sound development to replace the large commercial banks which are focusing on large cities and large firms.

These small banks can have better knowledge of the small firms, which could help reduce the credit risk.

In other words, small firms' demand for more funds can be met only through deepened financial reform and the establishment of a sound credit rating system.

 
Close  
   
  Today's Top News   Top Business News
   
+WHO: Bird flu death rises to 15; vaccination recommended
(2004-02-05)
+Solana: EU ready to lift China arms embargo
(2004-02-05)
+Nation tops TV, cell phone, monitor production
(2004-02-05)
+Absence ... still makes China hot
(2004-02-05)
+Hu: Developing world in key role
(2004-02-04)
+KFC: We operate normally in China despite bird flu outbreaks
(2004-02-05)
+Starbucks takes aim at China chain
(2004-02-05)
+Former Microsoft China chief gets new job
(2004-02-05)
+Private airline prepared for take off
(2004-02-05)
+Investors lured by call of siren
(2004-02-05)
   
  Go to Another Section  
     
 
 
     
  Article Tools  
     
 
 
     
   
        .contact us |.about us
  Copyright By chinadaily.com.cn. All rights reserved  
主站蜘蛛池模板: 午夜影院小视频| 中文在线天堂网www| 欧美日韩国产一区二区| 免费看一级做a爰片久久| 色综合久久天天综合| 国产成人无码一二三区视频| 18级成人毛片免费观看| 在线视频亚洲欧美| 一个人hd高清在线观看| 成人精品免费视频大全app| 久久亚洲精品无码aⅴ大香| 麻豆国产入口在线观看免费| 国产精品第2页| 中日韩黄色大片| 日韩在线一区二区三区免费视频| 亚洲另类自拍丝袜第1页| 波多野结衣伦理片在线观看| 免费一级毛片免费播放| 精品乱人伦一区二区| 啊灬啊灬啊快日出水了| 男女下面无遮挡一进一出| 国模吧双双大尺度炮交gogo| a级毛片黄免费a级毛片| 女律师的堕落高清hd| 免费网站看v片在线成人国产系列 免费网站看v片在线香蕉 | 免费A级毛片在线播放不收费| 精品欧美一区二区三区四区| 国产AV午夜精品一区二区三区| 80yy私人午夜a级国产| 天堂网最新版www| www夜夜操com| 孕妇被迫张开腿虐孕| 一级毛片不卡免费看老司机| 成人午夜精品无码区久久| 中文字幕热久久久久久久| 欧美性受xxxx| 亚洲欧美日韩中文久久| 永久免费无码网站在线观看个| 亲密爱人在线观看韩剧完整版免费| 男人团vip每日更新番号库| 免费A级毛视频|