On October 18, the People’s Bank of China announced that it held a joint meeting with the National Financial Regulatory Administration and the China Securities Regulatory Commission to discuss major financial institutions. The purpose of this meeting was to encourage these institutions to implement recent financial policies aimed at increasing liquidity more swiftly.
During the meeting, officials emphasized the necessity for financial institutions to take prompt action and fully utilize various incremental financial policies. They stressed the importance of supporting the real economy through enhanced credit, ensuring reasonable growth in overall monetary credit, and bolstering financing for small and micro enterprises. There was also a call for stringent enforcement and transmission of interest rate policies, along with organized efforts to adjust existing mortgage rates for housing.
Moreover, the meeting introduced two new tools for financial stability: the facilitation of swaps between securities, funds, and insurance companies, and a new mechanism for stock repurchase backing through relending. These measures are intended to underpin the stable development of capital markets.
Additionally, the leaders called for improved organizational leadership, the establishment of a dedicated working mechanism, and enhanced coordination between departments. The goal is to create a unified effort that maximizes the effectiveness of these policies, invigorates market confidence, and fosters positive societal expectations, ultimately driving sustained economic recovery and high-quality financial development.
