The central bank: The effects of moderately accommodative monetary policy continue to emerge, social financing conditions are relatively loose, and the quality and efficiency of financial services to the real economy are constantly improving.

The central bank released the Implementation Report of China's Monetary Policy for the second quarter of 2026. The effects of moderately accommodative monetary policy continue to emerge, with relatively relaxed social financing conditions and the quality and efficiency of financial services to the real economy continuously improving. The total financial volume maintains reasonable growth, with the outstanding social financing scale and broad money supply growing by 7.4% and 8.0% year-on-year respectively by the end of June. The banking system is sufficiently liquid, with the average overnight interest rate DR001 in the money market for the first six months at 1.31%, operating smoothly overall. The comprehensive financing cost for society remains low, with new corporate loan rates in June around 3.0%, approximately 20 basis points lower than the same period last year; new personal housing loan rates around 3.1%, roughly in line with the same period last year. The direction of credit funds continues to optimize, with increases in technology loans, green loans, inclusive loans, elderly care industry loans, and digital economy industry loans of 12.6%, 14.5%, 7.8%, 23.5%, and 15.1% year-on-year respectively by the end of June, consistently outpacing the growth rate of all loans. The supply and demand in the foreign exchange market remain basically stable, with the RMB exchange rate maintaining basic stability at a reasonable and balanced level. By the end of June, the closing price of the RMB against the US dollar was 6.7852 yuan, appreciating by 3% compared to the end of last year. The RMB exchange rate index from the China Foreign Exchange Trading Center was 102.59, appreciating by 4.7% compared to the end of last year.