The People’s Bank of China published a chronology of its monetary and financial policy actions through July 4, highlighting lower central bank lending rates, expanded structural funding and measures to develop cross-border renminbi markets. It cut relending and rediscount rates by 0.25 percentage points from Jan. 19, added CNY 500 billion to the relending quota for agriculture and small businesses, and increased the technology innovation and equipment upgrade relending quota by CNY 400 billion to CNY 1.2 trillion. A separate CNY 1 trillion facility was established under the relending program to support private small and micro enterprises. Other measures included lowering the minimum down payment for commercial property loans to 30%, broadening support under the carbon reduction facility and establishing carbon accounting arrangements for banks’ financing and investment activities. The one-year and five-year-plus loan prime rates remained unchanged at 3.0% and 3.5%, respectively, from January through June. The central bank also expanded renminbi clearing and swap arrangements, supported cross-border interbank financing, introduced renminbi liquidity support for eligible foreign central bank-type institutions and added overnight reverse repurchase agreements to open market operations.
Central Bank of the Republic of China2026-08-12
People’s Bank of China reviews 2026 policy easing, structural lending expansion and renminbi market measures
The People’s Bank of China reviewed its 2026 policy actions through July 4, including a 0.25 percentage-point cut in relending rates and major increases in structural lending quotas. It also expanded support for private businesses, technology and green projects while developing cross-border renminbi liquidity and clearing arrangements. Loan prime rates remained unchanged through June.