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Shanghai banks urged to provide easier credit to small enterprises

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Shanghai banks urged to provide easier credit to small enterprises

China's banking regulator is urging commercial banks in Shanghai to not raise the threshold for small and micro-sized enterprises to borrow loans, Shanghai Securities News reported Jan. 19.

Banks should also ease restrictions on small corporates' loan repayments, the Shanghai office of the Chinese Banking Regulatory Commission said in a notice. Lenders should extend the loan repayment period for small and micro-sized enterprises who have the ability to sustain their businesses and repay interest but cannot meet short-term loan obligations.