The People's Bank of China and the Ministry of Agriculture and Rural Affairs jointly issued policy guidance on strengthening financial services for rural reform and supporting comprehensive rural revitalisation, with a focus on increasing financial resource投入 into priority rural areas and improving how rural finance is delivered. The guidance calls for greater credit support for grain security, including preferential credit allocation to major grain-producing regions and counties, expanded financing for high-standard farmland and irrigation projects, and more long-tenor, lower-cost R&D lending for agricultural technology and seed industry initiatives. It also seeks to maintain differentiated financial support for formerly impoverished areas, broaden rural industry finance through new collateral and guarantee approaches and “one chain, one policy” services for county-level industrial chains, and expand financing options for rural infrastructure and public services through loan-investment linkage, syndicates and project bundling. To improve financing capacity, it encourages issuance of dedicated financial bonds focused on agriculture, small and micro enterprises and green finance, supports eligible enterprises issuing rural revitalisation bonds, promotes use of risk compensation, interest subsidies and incentive schemes, and strengthens the credit enhancement role of government-backed financing guarantee institutions. Banks are also directed to strengthen credit granting and credit usage management to avoid multiple or excessive lending, while reforms are to continue for rural credit unions on a “one province, one policy” basis and village bank restructuring. Next steps include further coordination by the People's Bank of China with relevant ministries, along with strengthened statistical monitoring and performance assessment of rural revitalisation lending and the development of updated rural investment and financing mechanisms.
Central Bank of the Republic of China2025-07-17
People's Bank of China and Ministry of Agriculture and Rural Affairs set out measures to expand credit and financing tools for rural reform and rural revitalisation
The People's Bank of China and the Ministry of Agriculture and Rural Affairs issued guidance to enhance financial services for rural reform and revitalisation, focusing on increased financial resource allocation to priority rural areas. Key measures include expanded credit support for grain security, rural infrastructure, and agricultural technology, alongside new collateral approaches and rural revitalisation bonds. The guidance also emphasizes improved credit management and reforms for rural credit unions and village banks.