China's private lending is booming as mainstream banks tighten up loan standards, the Shanghai Securities Journal reported.

Private loans in Zhejiang province alone are estimated in trillions, with the highest annual interest rate standing at 60 percent, the report said.

Tight lending policy and property clampdowns have narrowed the investment channels for private capitals while small and medium enterprises and mining industry are still craving funding, the paper said.

By Sun Yuanqing