BEIJING, Aug. 27 (Xinhua) -- China's central bank has added 5 billion yuan (about 737 million U.S. dollars) to its relending quota for agriculture and small businesses in southwest China's Xizang Autonomous Region to support disaster relief and post-disaster reconstruction, the People's Bank of China said Thursday.
The move is aimed at guiding and encouraging financial institutions to step up credit support for market entities in disaster-hit areas after a mudslide caused significant casualties along the China-Nepal border, according to the central bank.
Relending is a monetary policy tool under which the central bank provides low-cost funds to financial institutions to encourage lending to targeted sectors.
A mudslide struck Gyirong Port in Gyirong County, Xizang, on Wednesday morning. As of 8 a.m. Thursday, three people had been confirmed dead and 558 others remained missing.
The central bank said it will urge its Xizang regional branch to make good use of the additional relending quota and guide financial institutions to actively respond to financing needs in affected areas.
China's insurance sector has also moved swiftly to provide claims services and financial support following the disaster. Major insurers, including PICC and Ping An P&C, activated emergency response mechanisms, dispatched teams to affected areas and opened fast-track claims channels.
The first team of 141 rescuers has arrived at the mudslide-stricken border port of Gyirong Thursday morning. ■
