September 28, 2010

China offers US$27 billion loan for autumn grain purchase

The Agricultural Development Bank of China (ADBC), a policy bank mainly supporting the country's agricultural sector, will extend RMB180 billion (US$26.9 million) of loans to support the upcoming autumn grain purchase this year.

The figure was an increase of 5% over 2009 and 8% over 2008.

Companies that have won the ADBC's financial support are expected to purchase 95 billion kg of grain, requiring purchase funds of some RMB210 billion (US$31.4 billion) in total, of which RMB180 billion (US$26.9 million) will be borrowed from the ADBC.

The ADBC will improve credit services to ensure the smooth operation of autumn grain purchase, the bank said.