On December 18, Governor Pan Gongsheng of the People’s Bank of China (PBOC) chaired a meeting of experts to discuss the current economic and financial situation and listen to expert opinions.
Li Yang, Zhang Xiaohui, Wang Xiaolu, Bai Chong’en, Guan Tao, and Peng Wensheng, among others, shared their views at the meeting. It was generally held that since the beginning of this year, with the introduction of a series of policy measures to expand domestic demand, boost confidence, and prevent and control risks, the policy effects have been materializing, the financial sector has provided solid support for the real economy, and the Chinese economy on the whole has seen improvement. The attendees also gave advice on how to tackle the problems in economic and financial operation, forestall and defuse potential risks, balance internal and external equilibria, and enhance macro policy coordination.
Governor Pan spoke highly of their views. He said that despite mounting external uncertainties, China’s foreign exchange market has become significantly more resilient, with the RMB exchange rate remaining basically stable at an adaptive and equilibrium level. Always upholding the “two unwavering commitments”, the PBOC has attached importance to fostering the new drivers of development, helping the private economy grow bigger, better, and stronger, stepping up the issuance of loans to sectors, such as sci-tech innovation, private, micro and small businesses, advanced manufacturing, and green development, and expanding the share of such loans. With these efforts, the quality and efficiency of financial services for the real economy have been improved continuously. Under the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, the PBOC will fully implement the guidelines of the 20th National Congress of the Communist Party of China, the Central Economic Work Conference, and the Central Financial Work Conference, and will thoroughly consider the views and suggestions put forward at the expert meeting. The PBOC will work to keep liquidity adequate at a reasonable level while ensuring that the aggregate financing to the real economy (AFRE) and the money supply are aligned with economic growth and the target level of prices. Additionally, it will maintain reasonable credit growth as well as a steady pace and an optimizedl structure in the supply of credit, thereby creating a favorable monetary and financial environment for continued economic recovery.
Major officials from the relevant PBOC departments attended the meeting.
