金融英语阅读：Central bank tightens leash on 2011 lending frenzy
The central bank has reduced banks' 2011 lending targets by 10 percent from last year, the official Securities Journal reported Tuesday, citing unnamed sources.The central bank has also asked banks not to lend more than 12 percent of their full-year targets in January, the newspaper said.
The full-year lending target is seen at between 7.2 trillion yuan ($1.09 trillion) to 7.5 trillion yuan ($1.14 trillion), it said. Banks lent 7.95 trillion yuan ($1.21 trillion) in 2010, overshooting Beijing's target and highlighting the need for more decisive policy tightening.
Banks continued their lending frenzy in the beginning of the year, doling out 500 billion yuan ($75.95 billion) in new loans in the first week of January alone, putting fresh pressure on the central bank to tighten policy to put a lid on inflation.
For January, total lending of 900 billion yuan ($136.72 billion) is considered a reasonable target, but anything beyond 1.2 trillion yuan ($182.29 billion) would be considered intolerable for the regulator.
The January target has led to a lending squeeze at some commercial banks, it said.
"Big Four" lenders may have already lent close to 800 billion yuan ($121.52 billion) in the first two weeks of January, the Securities Journal reported.
The regulator may penalise banks that exceed their January lending ceilings by setting specific reserve ratios for these banks or asking them to buy more central bank notes.
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