Bank of Communications loans $61b to projects related to B&R

Bank of Communications Co Ltd has deepened support for the Belt and Road Initiative by devoting more financial resources to relevant projects.

Using instruments such as overseas syndicated loans and bilateral loans, the Shanghai-headquartered State-owned commercial lender had provided loans worth more than 400 billion yuan ($61 billion) to 37 projects as of Sept 30, to serve the business expansion of its clients in countries and regions related to the Belt and Road Initiative, said Fu Wanjun, general manager of Bank of Communication's corporate and institutional banking department.

The bank also supported the initiative via trusts and financial leasing, in addition to loans.

Bank of Communications International Trust Co Ltd, a wholly owned subsidiary of the bank, strived to push ahead projects via public-private partnerships, industry funds and government purchases of services in provinces and cities related to the Belt and Road Initiative. Cumulative investment trusts amounted to 62 billion yuan as of the end of the third quarter 2017.

Bank of Communications Financial Leasing Co Ltd leased 26 aircraft to seven clients in five countries related to the initiative and 48 ships to six clients in one country involved in the initiative, Fu said on Thursday.

Apart from implementing national strategic plans for development, the bank also set up an inclusive finance department at its headquarters and branches this year, to better support small and micro enterprises.

As of the end of September, its balance of loans to small and micro enterprises increased by 13 percent year-on-year, which was 3.83 percentage points higher than the bank's average loan growth.