PBOC Pledges Financial Support for Small Firms in 2020

China’s central bank pledged more financial support for small and micro businesses while saying it plans to stick to a prudent monetary policy stance this year.

The People’s Bank of China will improve the incentive mechanism for lending to such companies, it said in a statement following a two-day work conference in Beijing. Authorities will make it easier for them to gain access to financing through targeted reserve cuts, re-lending and re-discounting, among other policy tools, it said.