China's CITIC Bank has granted a 15 billion yuan ($2.2 billion) credit line to the national aircraft maker, Aviation Industry Corp of China (AVIC), state media reported on Monday.

 

The credit line is part of a partnership between the two that will also see CITIC provide investment bank and asset management services to AVIC, the official Xinhua news agency reported.

 

"Aviation is a strategic industry for our country's development, and the restructuring of AVIC has given CITIC Bank a vast opportunity for business cooperation," an unnamed bank official was quoted as saying.

 

AVIC was created last year out of a merger of two state aircraft makers with sights set on big projects, including a locally developed regional jet, to reduce China's reliance on Boeing and Airbus.

 

Combined 2008 sales for the two companies that merged were 166 billion yuan ($24.3 billion) in 2008, compared with $60.1 billion for Boeing.