Nation achieves 2020 goal for credit expansion

China achieved its credit expansion target for 2020 by using a large amount of funds to stabilize the economic recovery and limit damages from the novel coronavirus pandemic, before returning to normalcy, experts said on Wednesday.

New yuan-denominated loans issued by Chinese financial institutions stood at 19.63 trillion yuan ($3.03 trillion) in 2020, up by 2.82 trillion yuan on a yearly basis, according to data released by the People's Bank of China, the central bank, on Tuesday.

In December alone, new yuan loans stood at 1.26 trillion yuan, up by 117 billion yuan on a yearly basis. The total almost reached the 20 trillion yuan annual new lending target set by the PBOC in Shanghai in June. Most of the credit was used for COVID-19 control and prevention, as well as for supporting manufacturing and small companies, said experts.