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China's new loans expected to hit US$175 bln in June
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Insiders estimated that China's newly increased bank loans for June is expected to hit 1.2 trillion yuan (US$175 billion). This would be the third record high within the year, reported China Securities Journal today.

China's newly increased loans soared in the first quarter of 2009, respectively amounting to 1.62 trillion yuan (US$237billion) in January, 1.07 trillion yuan (US$157 billion) in February, and 1.89 trillion yuan(US$276 billion) in March. Approaching the second quarter, loans began to decline, with 591.8 billion yuan (US$86.6 billion) in April and 664.5 billion yuan (US$97.2 billion) in May. A sharp rise in loans in June is to be expected; numbers are influenced by housing loans, banking matching funds from the government's stimulus package, and borrowing demand of the private sector.

This phenomenon proves that the enterprises' demand for loans is building up, said a banking analyst, and the confidence of small and medium sized enterprises is recovering as the macro-economy develops in a positive way.

For more details, please read the full Chinese coverage at:

http://news.hexun.com/2009-06-26/119031608.html

(China.org.cn by Fan Junmei June 26, 2009)

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