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The logo of Industrial and Commercial Bank of China is pictured at the entrance to its branch in Beijing, China. Picture: REUTERS
The logo of Industrial and Commercial Bank of China is pictured at the entrance to its branch in Beijing, China. Picture: REUTERS

Beijing — Industrial and Commercial Bank of China (ICBC), the world’s biggest commercial lender by assets, announced on Wednesday the launch of an 80-billion yuan ($11.04bn) technology and innovation fund to support the private economy.

The new fund aims to support “hard technology” via equity investment, referring to areas such as semiconductors and advanced manufacturing over “soft” technology such as internet services, according to a statement released by the state-owned bank.

ICBC will thoroughly implement directives from central leadership by transforming beneficial policies into concrete actions supporting private enterprises, Liao Lin, chair of the lender, said at a meeting on Wednesday, according to the statement. The fund is also positioned as “patient capital” over the rush for quick profit, it said.

The move comes after China last week laid out its major policy priorities for 2025 at an annual parliamentary meeting, including how it plans to spur consumption and achieve technological breakthroughs amid geopolitical tensions between China and the US.

Last week, China’s state planner said the nation will set up a government-backed fund that would mobilise 1-trillion yuan from social capital to support technology start-ups.

Reuters

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