Beijing steps up monetary support

Driving business: An employee counting banknotes at a bank in China. The government will provide US$46.4bil of low-cost funding to banks so they can lend to small and medium-sized companies. ― AFP

HONG KONG: China ramped up financial support for small businesses and pledged better use of local government bonds as the economy showed further signs of a slowdown because of tight property controls and fresh virus outbreaks.

The People’s Bank of China will provide 300 billion yuan (US$46.4bil or RM193bil) of low-cost funding to banks so they can lend to small and medium-sized companies, according to a statement released after a Wednesday meeting of the State Council, China’s equivalent of a government cabinet.