The central bank held a regular monetary policy meeting for the second quarter of 2026, emphasizing continued implementation of moderately loose monetary policies

According to comparative news, the monetary policy committee of the central bank of the People's Bank of China held its regular meeting for the second quarter of 2026 (113rd overall) on July 4. The conference pointed out that monetary policy has remained moderately loose since this year, social financing costs are at historically low levels, and there is a basic balance between supply and demand in the foreign exchange market. Faced with the current complex and changing external environment and challenges such as strong domestic supply and demand, and structural differentiation, China's economy is generally running smoothly and optimally.

The conference emphasized that in the next phase, a moderately loose monetary policy will continue to be implemented, countercyclical and cross-cyclical adjustments will be strengthened, coordination and coordination of monetary and fiscal policies will be strengthened, and stable economic growth and a reasonable recovery in prices will be promoted. At the same time, the conference clearly proposed maintaining abundant liquidity to promote the operation of comprehensive social financing at a low cost; evaluating the operation of the bond market from a macroprudential perspective, paying attention to changes in long-term yields; and maintaining the basic stability of the RMB exchange rate at a reasonable equilibrium level. Furthermore, the central bank will continue to optimize various structural monetary policy instruments, solidly prepare the “Five Major Articles” on finance, and increase financial support for key areas such as expanding domestic demand, technological innovation, micro, small and medium-sized enterprises, and the private economy.