China bank's medium-term loans up to $155.06b in February

The country's deleveraging campaign boosted return of funding demand to on-balance sheets.

Despite seasonal effects, demand for medium term loans in China’s banks remained robust and even grew above expectations as total loan to households and businesses rose to $155.06b (CNY980.5) in February, according to OCBC Treasury Research.

“The strong demand for medium-term lending was partially attributable to the return of funding demand from off-balance sheet to on-balance sheet as part of China’s de-leverage campaign,” OCBC said, as off-balance sheet entrusted loan dipped for the second consecutive month to $11.86b (CNY75b).

Banker’s acceptance also plunged from $22.72b (CNY143.7b) to $1.58b (CNY10b) in January.

As funding demand continues to make its way back to the on-balance sheet, analysts remain bullish that loan growth will remain strong in the upcoming months which justifies the China Banking Regulatory Commission's move to relax loan provision coverage ratio to 120% to ease pressure off of banks.

Also Read

TerraPay obtains MPI License in Singapore

Maybank inks MOU with fintech Doxa for supply chain financing

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit