No Lending Coming

I didn't jump to conclusions on Friday, but my gut reading was correct. Small business has rhetorical support from government, but no concrete measures. The banks will not follow through on lending, not enough to make a big difference.

Friday: China Compels Banks to Lend to Small Business, Bank Stocks Tank

Saturday: It's a guideline, not a rule.

CNStock: 监管人士：“一二五”是方向性目标，信贷标准没放松

　The “one-two-five” goal of private enterprise loans has caused widespread market debate. The Shanghai Securities News reporter learned from the supervisors that “one two two five” is not a hard assessment indicator, and the credit standard has not been relaxed.

　　Experts in the industry analyzed that in the long run, supporting private enterprises with good services, and the bank's own stable development, prevention and control risks, the goal is consistent.

　　After combing, there are probably three misunderstandings in the market for “one two two five”. After communicating with banking industry insiders and regulators, the reporter will help you to remove these misunderstandings and correctly understand “one two five”