Arab Today, arab today china to encourage more loans to agricultural sector
Last Updated : GMT 21:26:48
Arab Today, arab today
Arab Today, arab today

China to encourage more loans to agricultural sector

Arab Today, arab today

Arab Today, arab today China to encourage more loans to agricultural sector

Chinese farmers
Beijing - XINHUA

Chinese farmers will soon be allowed to use their management rights over contracted land and their homes as collateral for bank loans.

The trial programs, announced by the State Council on Monday, are an attempt to revitalize rural land assets, increase the investment in long-term and large-scale agricultural projects, and raise farmers' income.

China's central bank, the People's Bank of China, and the central leading group office of rural work will improve rural finance and carry out pilot projects to allow farmers to raise mortgages.

Local governments and institutions will offer better support for improvements on rural financial products and services such as reduced interest rates, extended maturity and more appropriate credit ceilings.

China is making large-scale farming more attractive to industrial and commercial capital, via transfer of management rights of rural land and development of new agricultural businesses.

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