The turnover of China's pawnbroking industry rose 40 percent to 96 billion yuan (US$12.3 billion) in 2006, according to a report released by the Ministry of Commerce on Monday.

 

There were 2,494 pawnshops in the country at the end of last year, with registered capital totaling 24.6 billion yuan.

 

Services for small and medium sized enterprises contributed 50 percent to the industry's total turnover as pawnshops played an increasingly important role in helping these enterprises get hold of quick cash at a relatively low cost.

 

Provinces with prosperous private businesses saw higher pawnbroking turnovers, said the report, citing east China's Zhejiang Province as an example, where 95 pawnshops turned over 15.2 billion yuan last year.

 

Pawnshops appeared in China 1,700 years ago, but they were abolished after the founding of New China in 1949. The first pawnshop to reopen was in Chengdu, capital of Sichuan province, in1987.

 

(Xinhua News Agency February 13, 2007)