On January 20th, the data from the Guangdong Financial Supervisory Authority showed that the province's new manufacturing loans were 295.7 billion yuan last year, surpassing the total increments of 2017 to 2019. The balance of manufacturing loans increased by 19.3% year-on-year to 1.78 trillion yuan, setting a new high since 2012.

In addition to record high growth rates and increments of loans, data also show that the balance of medium and long-term loans increased by 50.4% year-on-year, is the best level in the past five years. The credit loans of manufacturing increased by 36.6% year-on-year, accounting for 29.6% of the industry's loan balances.

Despite the influence of the pandemic and the China-United States trade war, domestic financial institutions are still optimistic about the development of Guangdong's manufacturing industry and continue to increase credit allocation.

It is because the recovery of Guangdong's industrial chain in 2020 gave confidence to the banks that offer more credit and loans, said an official of the Guangdong branch of China Construction Bank.

As for the electricity consumption data, it also proved that the province's manufacturing industry has been recovering. Since June 2020, the electricity usage of Guangdong's manufacturing industry has maintained rapid growth for 7 consecutive months. In November and December, the data maintained double-digit growth.

What's more, Guangdong had 60 new domestic listed companies in 2020, 48 of which are manufacturing companies. In detail, more than two thirds of them are advanced manufacturing enterprises, over one third of them are related to electronic equipment manufacturing.

Author: Russell

Editors: Will, Jerry