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China will provide preferential loans to small and medium-sized Taiwanese enterprises on the mainland to help them develop their business, official media said on Saturday.
The loans are part of a series of concessions offered by Beijing, including visits by Chinese tourists and agricultural trade, in an effort to win over public opinion in Taiwan, which China considers part of its territory.
"We will encourage commercial banks to offer special credits" to agricultural businesses and smaller ventures involving Taiwanese investors, the China Daily quoted Chen Yunlin, minister of the Chinese cabinet's Taiwan Affairs Office, as saying.
Chen made the offer during a meeting in Beijing with a group of visiting politicians from Taiwan's opposition Nationalist Party, which China considers to be friendlier than Taiwan President Chen Shui-bian's Democratic Progressive Party.
The Taiwan Affairs Office will sign an agreement with Beijing-based Huaxia Bank for the loans, the China Daily reported without specifying how much money would be involved.
Last September, Beijing's China Development Bank offered 30 billion yuan ($3.75 billion) in loans to Taiwan investors, who have poured tens of billions of dollars into China over the past two decades.

Copyright Reuters, 2006

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