In order to support the implementation of the “two new” policy, or the policy for promoting large-scale equipment renewal and consumer goods trade-in, the People's Bank of China (PBOC) is to increase the central bank lending quota for sci-tech innovation and technological transformation by RMB300 billion. This measure aims to guide financial institutions to accelerate credit issuance in key areas and further advance technology finance, green finance, inclusive finance, old-age finance, and digital finance.

Following this adjustment, the total central bank lending quota for sci-tech innovation and technological transformation will reach RMB800 billion. It will no longer be disaggregated into the previous two sub-quotas, namely, that for supporting first-time loans to technology-based small and medium-sized enterprises (SMEs), as well as that for supporting loans related to technological upgrading and equipment renewal.