China to boost core capital of state-owned banks for high-quality development

China

China to boost core capital of state-owned banks for high-quality development

2024-10-12 15:59 Last Updated At：16:57

China's Ministry of Finance on Saturday announced plans to issue special government bonds to bolster the core capital of large state-owned commercial banks, aiming to enhance their risk resistance capabilities and lending capacity to better serve the real economy.

Liao Min, the country's vice finance minister, announced the arrangement at a press briefing on enhancing counter-cyclical fiscal policy adjustments to promote high-quality development.

"Under the current circumstance, we believe it is necessary to support large state-owned banks by increasing their core tier-1 capital through appropriate measures. This will not only strengthen their ability to operate prudently but also give full play to the leveraging role of the capital more effectively, enhancing their lending capacity and expanding support for the real economy further. This will provide stronger backing for sustained macroeconomic recovery and boost market confidence," said Liao.

"This work has already begun with the Ministry of Finance, in collaboration with relevant financial regulatory authorities, establishing an interdepartmental working mechanism. We are currently awaiting specific proposals from the banks for capital replenishment, and all related work is progressing in an orderly manner," he said.

ROK president calls for learning lesson from anti-aggression history

The Republic of Korea (ROK) and China should cherish the historical experience of jointly resisting aggression and continue to work together for a prosperous future, said ROK President Lee Jae Myung.

At the invitation of Chinese President Xi Jinping, Lee will pay a state visit to China from Jan 4 to 7. It will be Lee's first visit to China since he took office last year.

In an interview with China Media Group (CMG) in Seoul on Wednesday, Lee said that humanity must learn from the past to prevent the tragedy of war from repeating itself.

"While pursuing their own national interests to the fullest extent, countries must not harm the national interests of others, but should coexist peacefully. The act of invading other countries and massacring their people for one's own benefit must never be repeated. History of humanity often repeats itself, therefore we must learn from the past. In this regard, I believe the historical experience of ROK and China in resisting aggression and fighting together is invaluable. Of course, while historical experience is important, we cannot remain stuck in the past. For a better future for the people of both countries, we need to continuously explore possibilities for working together towards the future," said the president.