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BEIJING, Oct. 14 (Xinhua) -- The expansion of a credit-asset pledged lending program should not be misinterpreted as a Chinese version of quantitative easing (QE), a senior economist of the central bank told Xinhua on Wednesday.
It will not have significant impact on total liquidity and should not be misread as a kind of QE, said Ma Jun, chief economist at the central bank's research bureau.
The People's Bank of China (PBOC), China's central bank, announced last Saturday it would expand the pilot program on credit-asset pledged lending to nine municipalities and provinces.
Before this, the scheme was tested in Shandong and Guangdong, said the central bank in an online statement.
The nine municipalities and provinces included in the expansion are Shanghai, Tianjin, Liaoning, Jiangsu, Hubei, Sichuan, Shaanxi, Beijing and Chongqing.
The move is expected to cut borrowing costs and guide more funds into agriculture and small enterprises to boost the real economy, the PBOC said.
