China extending financial support to major foreign-funded companies: Xinhua

December 24, 2020

BEIJING - China's State newsagency, Xinhua, reports that Chinese authorities have urged efforts to extend financial support to major foreign-funded firms to lower their fund-raising costs and help them weather the COVID-19 economic fallout.

Xinhua said major foreign-funded companies should get equal access to the same financing programmes as their Chinese counterparts, according to a circular released jointly by the Ministry of Commerce and the China Banking and Insurance Regulatory Commission.

Meanwhile, the Chinese business news group, Caixin, says China's private equity (PE) industry totalled nearly RMB16 trillion (USD2.45 trillion) as of the end of November, a 16% increase from a year ago, "showing that venture investors see new opportunities continuing to arise in the world's second-largest economy".

Caixin said private securities investment funds had ggrown 53% from a year ago to RMB3.74 trillion, accounting for about a quarter of the PE industry, according to data released by the Asset Management Association of China. (ATI).