The People’s Bank of China said on Monday it will continue to increase financial support for private companies and work to reduce their overall financing costs.

In the next step, more monetary policy support will go to micro and small private enterprises, according to the central bank’s latest third-quarter monetary policy report.

The report states that positive results were achieved due to measures such as encouraging commercial banks to issue special financial bonds for micro and small businesses and supporting the financing of private companies.

By the end of September, China’s inclusive lending support mechanism provided 52.6 billion yuan ($7.4 billion) in incentive funds for micro and small enterprises, up 25.1 billion yuan from the beginning of the year, according to the report.

Outstanding loans for small and medium-sized science and technology enterprises stood at 2.4 trillion yuan at the end of September, rising 22.6 percent year on year.


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