The Ministry Of Finance Expands The Pilot Project Of Increasing Agricultural Loans By County Financial Institutions.
Treasury Department
11, a news release said that in order to better mobilize the enthusiasm of financial institutions to support agriculture, the Ministry of finance has issued notices recently.
County Financial Institutions
The scale of pilot projects involving incremental loans for agricultural loans has been launched this year from 10 provinces, including Hebei, Liaoning, Jilin, Jiangxi, Shandong, Hubei, Guangxi, Sichuan, Shaanxi and Gansu.
Launch a pilot project
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The pilot project of increasing the number of agricultural loans by county financial institutions is an important measure for the Ministry of finance to implement the opinions of the CPC Central Committee and the State Council on increasing the overall planning for urban and rural development and further consolidating the foundation for the development of agriculture and rural areas.
Since its pilot in 2009, it has played a positive role in mobilizing financial institutions to support agriculture and guiding social capital to return to the "three rural issues".
On the basis of previous pilot projects, the Ministry of Finance recently issued the "financial county financial institutions related to agricultural loans incremental reward fund management measures", aiming at establishing and improving long-term financial support mechanism for agriculture and supporting the development of agriculture, rural areas and farmers.
According to this "management method", the financial departments of the county financial institutions in the year when the average balance of agricultural loans increased by more than 15% over the same period, according to the ratio of 2% to reward.
No county financial institutions will be rewarded at the end of the year with the rate of non-performing loans higher than 3% and the year-on-year rise.
The reward funds are shared by the central and local governments.
The "management measures" clearly indicate that the county financial institutions mainly refer to the financial institutions and other financial institutions (including the Agricultural Development Bank) under the county level and below the county level (including county-level cities, excluding county level).
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