(Yicai) May 7 -- China's National Financial Regulatory Administration has released eight major favorable policies affecting real estate finance, small and micro enterprises, and stabilizing foreign trade.

The policies include speeding up the introduction of a series of financing systems compatible with the new real estate development model, helping to continuously consolidate the stability of the real estate market, further expanding the scope of long-term investment in insurance funds to introduce more incremental funds to the market, optimizing regulatory rules to further reduce the risk of insurance firms' stock investment, and supporting the stabilization and revitalization of the capital market, Li Yunze, director of the NFRA, announced today.

In addition, the financial watchdog will launch a package of financing policies to support small and micro firms and private companies as soon as possible, set up a deep and strong financing coordination mechanism, and help stabilize enterprises and the economy, Li noted. It will also form and implement policies and measures to support the development of foreign trade in the banking and insurance sectors, provide precise services to market entities significantly hit by tariffs, and fully assist them in stabilizing operations and expanding markets, he added.

The management measures for mergers and acquisitions loans will be revised to promote the industry's transformation and upgrading, Li said. In addition, the authorities will expand the entities that set up financial asset investment companies to qualified national commercial banks and increase investment in science and technology firms, he noted.

The NFRA will formulate opinions on the high-quality development of science and technology insurance, better play the role of risk sharing and compensation, and effectively safeguard scientific and technological innovation, Li pointed out.

The capital adequacy ratio of banks and the insurance solvency ratio had stable growth in the first four months of this year, Li said. The non-performing loan ratio dipped around 0.1 percentage point from a year earlier, while the provision coverage grew about 10 percentage points, he added.

The banking and insurance industries added about CNY17 trillion (USD2.4 billion) to the real economy through loans, bonds, and other means in the four months ended April 30, Li noted. Since the expansion of the non-repayment renewal policy last September, some CNY4.4 trillion (USD609 billion) has been extended for small, medium, and micro enterprises, better meeting their financing needs, he said.

Short-term export credit insurance jumped 15.3 percent in the first four months from a year ago, providing a strong guarantee for stabilizing foreign trade, Li added. The insurance industry paid about CNY1 trillion from January through April, with over 10 million new energy vehicles insured, he said, noting that the long-term reserves for pension and health insurance accumulated by insurers for residents have exceeded CNY10 trillion.

Editor: Martin Kadiev