- To keep liquidity ample
- The external situation remains unstable and uncertain
- China's economy is facing many risks, challenges
- Need to consolidate the economic recovery
- To strengthen transmission of monetary policy
- To maintain prices at a reasonable level
- Will stabilise growth, jobs, expectations; maintain forex flexibility
- To increase efforts to support consumption, tech innovation
There's nothing new here as the PBOC continues to reaffirm their pledge to keep more easy monetary policy conditions in trying to prop up the economy. Sentiment in China has definitely improved this year and avoiding a trade war with the US is definitely helping. However, domestic demand remains weak - if not dead in the water - and that is still the biggest problem that Beijing is facing.
