
Chinese banks stake their future on SME loans
The SME revolution

A credit revolution is taking place in mainland China. Large banks, which traditionally have catered to the needs of state-owned enterprises (SOEs) and increased their lending to government and quasi-government entities by trillions of yuan in 2009, have virtually frozen credit growth to this segment of business. Instead, major banks are opening up their balance sheets to small-to-medium sized enterprises (SMEs) on an unprecedented scale.
Moody’s Investors Service stated in a weekly credit
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