China's Central Bank: MCLR for Small and Micro Loans Grows 12.3% in Q2

China Daily, July 22 - The People's Bank of China (PBOC) released its quarterly financial statistics report for the second quarter of 2025 on Tuesday. According to the data, as of June 30, outstanding loans from Chinese financial institutions reached a total of 268.56 trillion yuan, up by 7.1% year-on-year and increasing by 12.92 trillion yuan over the first half of the year.

One, loan growth to corporate entities remains stable

As of June 30, outstanding loans to non-financial corporate entities stood at 182.47 trillion yuan, up by 8.6% year-on-year and increasing by 11.5 trillion yuan over the first half.

Looking at the loan structure, short-term loans and bill financing accounted for 62.04 trillion yuan, up by 9.4% year-on-year and increasing by 4.25 trillion yuan over the first half. Long-term loans stood at 116.79 trillion yuan, up by 8.3% year-on-year and increasing by 7.08 trillion yuan over the first half.

Looking at loan purposes, fixed asset loans accounted for 76.82 trillion yuan, up by 7.8% year-on-year and increasing by 4.33 trillion yuan over the first half. Operating loans stood at 75.12 trillion yuan, up by 8% year-on-year and increasing by 5.84 trillion yuan over the first half.

Two, long-term loans to industries such as manufacturing and infrastructure continue to grow rapidly

As of June 30, outstanding long-term loans to industrial sectors stood at 26.27 trillion yuan, up by 10.7% year-on-year and increasing by 1.74 trillion yuan over the first half. Among them, heavy industry accounted for 22.35 trillion yuan, up by 10.2%, while light industry accounted for 3.92 trillion yuan, up by 13.6%.

As of June 30, outstanding long-term loans to the service sector stood at 71.62 trillion yuan, up by 6.8% year-on-year and increasing by 3.99 trillion yuan over the first half. Excluding real estate lending, the growth rate was 7.3%, while the growth rate for real estate lending was 4.9%.

Three, small and micro loans grow rapidly

As of June 30, outstanding small and micro loans stood at 35.57 trillion yuan, up by 12.3%, increasing by 2.63 trillion yuan over the first half.

Among them, agricultural loans accounted for 9.92 trillion yuan, up by 28.4%. Other small and micro loans accounted for 25.65 trillion yuan, up by 12.3%.

Four, green lending grows significantly

As of June 30, outstanding green lending stood at 42.39 trillion yuan, up by 14.4%, increasing by 5.35 trillion yuan over the first half.

Looking at the loan structure, infrastructure upgrading loans accounted for 18.75 trillion yuan, up by 22.9%. Energy and low-carbon transformation loans accounted for 8.25 trillion yuan, up by 14.4%. Ecological protection restoration and utilization loans accounted for 4.95 trillion yuan, up by 11.1%.

Looking at the industries, power, gas, water production and supply industry green lending accounted for 8.66 trillion yuan, up by 12.3%. Transportation, warehousing, and postal services industry green lending accounted for 7.64 trillion yuan, up by 14.4%.

Five, agricultural loans continue to grow

As of June 30, outstanding agricultural loans stood at 53.19 trillion yuan, up by 7.4%, increasing by 3.07 trillion yuan over the first half.

Among them, rural lending accounted for 38.95 trillion yuan, up by 7.4%. Agricultural lending accounted for 6.9 trillion yuan, up by 8.1%.

Six, real estate loans rebound

As of June 30, outstanding real estate loans stood at 53.33 trillion yuan, up by 0.4%, increasing by 4166 billion over the first half.

Among them, commercial property development loans accounted for 13.81 trillion yuan, up by 0.3%. Individual housing loans accounted for 37.74 trillion yuan, down by 0.1%.

Seven, lending supports innovation-oriented SMEs with significant intensity

As of June 30, a total of 27.4 million high-tech and innovation-oriented small and medium-sized enterprises (SMEs) received lending support, with a loan-to-deposit ratio of 50%, up by 3.2 percentage points year-on-year.

Among them, high-tech SMEs accounted for 26.68 million, with a loan-to-deposit ratio of 57.6%, up by 1 percentage point year-on-year.

Eight, household consumption loans continue to grow

As of June 30, outstanding household consumption loans stood at 84.01 trillion yuan, up by 3%, increasing by 1.17 trillion over the first half.

Among them, operating loans accounted for 25.09 trillion yuan, up by 5.4%. Non-real estate housing loans accounted for 21.18 trillion yuan, up by 6%.