SME loans to reach target before '15: FSC
By Ted Chen ,The China Post
June 30, 2014, 12:00 am TWN
TAIPEI, Taiwan -- According to a release by the Financial Supervisory Commission (FSC, 金管會) a rise in total loans extended to small- to medium-sized enterprises (SMEs) have been growing markedly, and expected to reach this year's projected target of NT$240 billion.
As of the end of May, loans to small to medium scaled businesses grew by NT$102.9 billion year-on-year, reaching 42.87 percent of this year's projected target, said the regulator, adding that at the current pace loans are expected to exceed NT$240 billion before the end of this year.
Domestic banks in the first five months of this year extended loans of NT$4.8639 trillion, and grew by NT$38.2 billion since the last tally at the of April.
In addition, loans to small and medium scaled businesses at the end of May represented a 53.86 percent portion of total corporate loans, growing by 0.29 percent month-on-month, and a 57.66 percent portion of all private sector corporate loans, growing by 0.25 percent month-on-month. Concurrently, average non-performing loan ratio on corporate loans receded to 0.58 percent, improving by 0.02 percent.
The regulator stated it will continue to encourage banks to take on more corporate loans with discretion, and aim to provide an environment that fosters growth among Taiwan's small to medium sized businesses.