LHASA - Banks in southwest China's Tibet autonomous region have issued record high loans in recent months to boost local economic development, the regional banking authorities said Friday.

Banks' outstanding loans reached 52.3 billion yuan ($8.22 billion) by the end of May, rising 27.87 percent from the beginning of the year, according to a report issued by the local branch office of the People's Bank of China which overseas lending activity in the region.

By May, bank lending in Tibet had posted a consecutive month-on-month growth over the past 10 months, the report said.

Among the new loans, the amount for business operations reached 3 billion yuan in the first five months, up 22.34 percent from the beginning of the year while the amount for fixed assets reached 4 billion yuan in the Jan-May period, up 45.31 percent. Individual loans have grown by 928 million yuan so far this year, according to the report.

The Chinese government has been boosting economic development in Tibet over the past decades by initiating a number of infrastructure projects and cutting red tape to make doing business in the region easier.

The banking authorities said banks in Tibet have been encouraged to lend to medium and small businesses, disadvantaged groups, infrastructure and development projects in rural areas.