China Central Bank urges to increase credit loans for farming

BEIJING, Jan. 10 (Xinhua) -- China's central bank is urging local branches to increase credit loans to farmers to support spring ploughing, a circular posted on its website said.

Local financial institutions should increase credit loans for farming while curbing those for non-agricultural purposes as the country had adopted a tightening monetary policy, the central bank said.

Rural credit cooperatives were allowed to take advantage of floating rate policies to set a more favorable loan interest rate for farmers.

In addition, the central bank would continue its relatively lower reserve requirement ratio for rural credit cooperatives.