ZCZC
BCN-26
CHINA-BANKING-FINANCING-INVESTMENT
Three major banks in China agree to invest in national financing guarantee
fund
BEIJING, July 28, 2018 (BSS/Xinhua) – Industrial and Commercial Bank of
China, Agricultural Bank of China, and Bank of China announced that each will
contribute 3 billion yuan to the national financing guarantee fund.
The banks had recently signed agreements to be sponsors of the national
financing grantee fund and invest 3 billion yuan each in four years starting
from 2018. Each bank’s contribution to the fund accounts for 4.5386 percent
of the total fund.
After the investment has been reviewed and approved by the board of
directors of each bank, it is not necessary to go through shareholders’
meeting. Moreover, the investments of the banks all come from their own
funds.
It’s learned that the national financing guarantee fund is initiated by
China’s Ministry of Finance and co-established with 20 other organizations
with an initial registration capital of 66.1 billion yuan.
The fund is established as a quasi-public financial institution to
alleviate the financing difficulties small and micro companies, agricultural
and rural business and innovation enterprises.
BSS/XINHUA/HR/1455