Bank Loan Amount, Term, Interest Rate and Repayment for PV Projects

In general, enterprises and institutions with good credit and no major negative records, as well as natural persons with full capacity for civil conduct, can apply for bank loans. Details are as follows:

According to Chinas regulations on the capital system for investment projects, users must raise at least 20% of the total project investment themselves, and the bank loan can cover up to 80%. Drawing on medium- and long-term loans for power projects, and depending on the borrower and the actual project situation, the loan term for distributed PV projects can generally reach up to 15 years.

China is gradually liberalizing interest rates. Based on the benchmark rates of the People's Bank of China, each bank can set flexible pricing according to its own situation. Repayment is generally made through equal monthly installments of principal and interest, or equal principal payments.