SHENYANG'S top planner says the national tight credit policy is set to ease next year, providing relief to this industrial base in northeastern China.
Hong Jiansheng, director of the Liaoning provincial capital's Planning Commission, said the central government's relative success in cutting prices and fixed asset investments this year meant credit policies could be relaxed.
Although money supply and the scope of loans would remain tightly controlled, state enterprises with a strong chance of turning themselves around would be able to secure funds.
'It is impossible for China to ease lending across the board, but credit will ease somewhat,' he said.
His remarks added credence to expectations the central government was about to approve more funds in the wake of a 'soft landing' of the economy.
Inflation in Shenyang was expected to fall to about 14 per cent for the year - lower than the national target of 15 per cent - after hitting more than 20 per cent last year. Prices for produce were about 20 per cent less than in Dalian, Shanghai, Beijing or Guangzhou.
