Loans by the Industrial and Commercial Bank of China, the country’s largest bank, soared in January in response to government calls to support the weakening economy. The bank extended Rmb117.1bn of new loans last month, equivalent to 22 per cent of the amount lent in the whole of 2008.

Some 59 per cent of the total, Rmb69.3bn, was directed to infrastructure projects including railways, roads, power grids and nuclear power stations.

Late last year China urged local lenders to increase credit to support its RMB4,000bn stimulus package aimed at stimulating economic growth.