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Home / Metal News / Capital costs up 1-2% for aluminium firms in Henan, Chengdu

Capital costs up 1-2% for aluminium firms in Henan, Chengdu

iconApr 3, 2018 13:19
Source:SMM
Some aluminium processing companies in Henan province and Chengdu face higher capital costs of 1-2% in April as they turn to personal loans to obtain financing

SHANGHAI, Mar 1 (SMM) – Some aluminium processing companies in Henan province and Chengdu face higher capital costs of 1-2% in April as they turn to personal loans to obtain financing, SMM learned. 

This was a result of Chinese banks raising interest rates on loans after 2014, thereby making it more difficult for enterprises to obtain loans. Interest rates of loans are estimated at 8-9% in April 2018.

Other than personal loans, some companies have opted for funds in the form of receivable financing from supply chain financing companies. 

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