The Agricultural Development Bank of China has agreed to loan at least three trillion yuan ($450 billion) by the end of the decade to modernize China's agricultural sector, according to Chinese state media.

The Ministry of Agriculture and the state-owned policy bank inked a deal to uphold national food security, help the sector do business internationally, and develop China's seed industry. The deal is also aimed at strengthening the industry's efficiency and promoting rural income growth.

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According to the state-backed Xinhua News Agency, the Agricultural Development Bank of China would be in charge of managing financial services such as offering financial products and determining the interest rates.

It is not clear if this agreement is the same with the Agricultural Development Bank of China's announcement in May that it will lend three trillion yuan ($450 billion) between 2016 and 2020 to lessen poverty by investing in agriculture, the Economic Times reported.

The bank planned to create a poverty-reduction fund that will be used to finance the construction of infrastructure in rural areas, to be made available for the grain and crop production sectors, to relocate people below the poverty line, and to fund education, Xie Xuezhi, the bank's chairman, said.

Eradicating poverty and establishing a "moderately prosperous society" by 2020 are China's two key goals in its most recent five-year plan, the International Business Times reported.

"To bridge the development gap between urban and rural areas is a difficult challenge for us. To build a moderately prosperous society in an all-around way is the goal of all Chinese people. None of them can be left behind," China's President Xi Jinping said in October last year.

TagsAgricultural Development Bank of China, ADB, ministry of agriculture, agricultural investment, china