The central bank: continue to implement a moderately loose monetary policy

The People's Bank of China held a work conference for the second half of 2025 on August 1 and a meeting to promote the rectification work of the central government in a long-term manner. The meeting held that financial support for the economy continued to increase. Implement moderately loose monetary policy, reduce the deposit reserve ratio, and flexibly use a variety of monetary policy tools to maintain abundant liquidity. Lower policy interest rates, structural monetary policy tool interest rates and personal housing provident fund loan rates to promote the decline of financial marekt interest rates and comprehensive social financing costs. Continue to improve the monetary policy framework, cultivate policy interest rates, improve the monetary policy toolbox, do a good job in policy communication and expectation guidance, and consolidate the effectiveness of expanding and rectifying idling funds and "involution" competition in the financial industry