Balance of deposits and loans for financial institutions exceeding a trillion yuan

Details

Category: Ningbo Business

Published: Tuesday, 31 January 2012 10:12

News came from the Ningbo central branch of People's Bank that in 2011, both the balance of deposits and the balance of loans for financial institutions exceeded a trillion yuan in Ningbo. The loans increased by 126.32 billion yuan, which serves as an effective support for Ningbo's economic development and industrial transformation and upgrading.

At the end of 2011, the balance of the Chinese and foreign currency deposits for financial institutions reached 1.065927 trillion yuan, an increase of 90.211 billion yuan compared with the beginning of the year and up by 9.12% over the previous year. The balance of RMB deposit reached 1.043592 trillion yuan, an increase of 88.446 billion yuan and up by 9.13% over the previous year.

At the end of December 2011, the balance of the Chinese and foreign currency loans for financial institutions reached 1.067684 trillion yuan, an increase of 126.32 billion yuan compared with the beginning of the year and up by 13.41% over the previous year. In terms of the features of the loans, the investment has become more optimized by flowing to small and medium enterprises, "three rural" projects and key projects. By the end of 2011, the loans for small and medium enterprises had reached 603.837 billion yuan, an increase of 81.815 billion yuan. Meanwhile, more support was given to key projects. The balance for syndicated loans amounted to 30.352 billion yuan, increased by 12.379 billion yuan over the beginning of the year. However, the growth rate of personal loans fell sharply, for instance, the growth rate of personal housing loans dropped to 1.25%.

The financial institutions made more of their funds. At the end of the year, the deposit-loan ratio stood at 100.16%, an increase of 3.79% over the previous year.

ECFA certificates of origin reduced over 4 mln yuan of tariffs for Ningbo businesses

Details

Category: Ningbo Business

Published: Thursday, 19 January 2012 18:10

Since inspection and quarantine departments began to issue ECFA certificates of origin on Jan. 1, 2011, Ningbo Entry-Exit Inspection and Quarantine Bureau has issued 838 certificates, involving a total amount of 25.46 mln dollars and saving a sum of over 4 mln yuan tariffs. The certificates receivers are mainly in such sectors as light industry, chemical industry, fitness equipments and electromechanical devices.

ECFA is a preferential trade agreement between mainland China and Taiwan that aims to normalize the economical ties between the two sides. The pact, signed on June 29, 2010, covered all the economic exchanges across the Taiwan Strait. And the "early harvest" list of tariff concessions covered about 800 products, with the promise to reduce all the tariffs to zero in three years.

Last year, Ningbo Entry-Exit Inspection and Quarantine Bureau made great efforts in encouraging trading businesses to take advantage of the preferential policies. According to ECFA, the second round of tariff concession of the products listed in the “early harvest” program would take effect on Jan. 1, 2012. From that day on, the tariffs of over 94% of all the products on the "early harvest" list would be reduced to zero, and tariffs of 30 products that had tariffs of over 15% before would be reduced to 5%. As a result, import and export businesses are highly recommended to make use of the preferential policies to decrease costs and increase competitiveness in trading with Taiwan.

Banking industry for shipping sector has good prospects

Details

Category: Ningbo Business

Published: Thursday, 19 January 2012 18:12

Zhang Yu, member of CPPCC Zhejiang Committee and vice chairman of CNDCA of Ningbo Municipal Party Committee, proposed to accelerate the development of shipping-oriented banking industry at the Fifth Session of the Tenth CPPCC of Zhejiang.

Zhang Yu said that to speed up the development of shipping-oriented financial industry plays an important role in promoting the transformation and upgrading of Zhejiang economic patterns during "The Twelfth Five Year Plan "period; it would also further promote the development of marine economy in Zhejiang province. It has been a national strategy to develop marine economy of Zhejiang Province. The development of Shanghai's shipping and financial industries provide good opportunities for Zhejiang province. He also pointed out the problems in this area such as low specialization in financial institutions and financing difficulties in shipping industry. At present, the financial institutions mainly provide traditional financial services for shipping industry, and with a limited business range the business expands slowly. Also there is a lack of shipping-related financial talents and lack of policy support.

For this reason, Zhang Yu suggested that the province should vigorously introduce shipping-related financial entities and give scope to various ports of different zones. Meanwhile, by offering various preferential policies, the government of Zhejiang aims to encourage and attract renowned financial institutions from overseas, say, London, Singapore to establish branches and joint ventures here, and other related international leading businesses are also welcome. The government should promote the innovation of shipping-related finance products, and actively encourage banks at home as well as well-known financial institutions overseas to carry out ship financing business in Zhejiang province so as to build a complete ship financing product chain

Balance of Loans for Small Businesses Increased by 40 Billion Yuan Last Year

Details

Category: Ningbo Business

Published: Thursday, 19 January 2012 18:09

It was learned from the conference of the heads of the city's banking and financial institutions on Jan.13 that the banking sector in Ningbo maintained a sound momentum in 2011 and kept a good interactive relationship with the local economy. By the end of November 2011, the balance of loans for small businesses had reached to 336.756 billion Yuan, up 40.375 billion Yuan as against the beginning of the year.

Last year, Ningbo Banking Regulatory Bureau rendered great efforts to encourage the banking institutions to support small, micro-enterprises. To reduce the financing costs for businesses, the Bureau required banks to set the loan interest rate no more than 30% higher than the benchmark interest rates, and they also put forward some regulatory requirements. For example, banks were not allowed to raise financing costs in disguised forms; besides they pushed banks to innovate on products that are suitable for small and micro businesses. At present, 602 financial products are applicable to small businesses, increased by 120 as against early the year, including 366 non-mortgage products, which accounted for 61% of the products for small businesses. Up to now, there are 8 branches of commercial city banks featuring loans for SMEs. Ten village banks are to be opened, and two new technology bank branches, one logistics bank branch and 15 community bank branches have been set up. More than 300 work teams of financial services for small businesses have been established within its jurisdiction.

In addition, the Banking Bureau has also taken the lead to propose an increase of the bad loan tolerance to 5% for small businesses. By the end of November 2011, small businesses in Ningbo have maintained good asset qualities. And the balance of non-performing loans of small businesses in the banking and financial institutions within its jurisdiction was 3.126 billion Yuan with a slight increase of 0.45 million Yuan compared with that in the beginning of the year. The rate of bad loans was 0.93%, 0.11 percentage lower than that of the beginning of the year. In 2011, the balance of non-performing loans for small business decreased for nine consecutive months, and11 consecutive months for the rate of bad loans.

In financial support for agriculture, we can see a balance of agriculture-related loans of 348.167 billion Yuan by the end of September 2011, increasing by 21.76% of 45.759 billion Yuan since the beginning of the year, which was 5.36% higher than the loans for other fields.

Ling Gan, director of Ningbo Banking Bureau, declared that in 2012 the banking sector of Ningbo would focus on innovation of financial services and fully support regional economic progress while maintaining stability; they will also optimize the credit structure so as to promote the transforming of economic development patterns. Meanwhile, they will fully support the key industries and major projects determined in the "Twelfth Five-Year Plan" of Ningbo to improve and perfect the financial support for key areas such as "six speed-ups", the marine economy and so on. In addition, continuing to strengthen and improve financial services of cultural industries is also listed on the agenda. At the same time stick to the bottom line of risks and ensure steady development of the banking sector.