Pan Gongsheng, Governor of the People’s Bank of China, delivers a speech during the Lujiazui Forum 2024 on June 19, 2024 in Shanghai, China.
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BEIJING – The head of the People’s Bank of China said at a closely watched meeting on Tuesday that the central bank plans to maintain supportive monetary policy. according to state media.
PBOC Governor Pan Gongsheng added that the central bank planned to “increase the intensity of countercyclical monetary policy,” state media said in Chinese, translated by CNBC. Countercyclical policies refer to measures intended to address short-term economic developments. has used similar language in recent months.
He presented a report on financial work at the meeting of the Standing Committee of the National People’s Congress this week. The meeting, which concludes on Friday, is widely expected to approve further fiscal stimulus measures.
Finance Minister Lan Fo’an addressed the committee on Monday on a plan to raise the local government’s debt limit to replace hidden debt, state media said. Lan also presented a report on the management of state assets on Tuesday, according to state media.
The PBOC began cutting some interest rates in late September in an effort to support slowing growth. These measures followed the US Federal Reserve’s shift to an easing cycle, with a major cut of 50 basis points in mid-September. The Fed is expected to cut rates again when the two-day meeting ends Thursday local time.