Liu Mingkang, chairman of the China Banking Regulatory Commission (CBRC), has encouraged lenders to make loans to consumers and small companies despite the risk of asset bubbles, the South China Morning Post reported. China’s banks generated a record US$1.35 trillion in new loans from January to November 2009 as part of the national effort to counteract the global credit crisis, and Beijing has said that it will maintain a loose credit environment. However, concerns remain that in addition to driving a mainland recovery, loose credit policy will generate asset bubbles and lead to non-performing loans. Liu also encouraged the utilization of loans to support rural development and environmental efforts.