As far as measurability is concerned, under the planned economy, the data statistics required by the loan scale as the intermediate target of monetary policy are basically complete. As far as controllability is concerned, although governments at all levels intervene in loans, enterprises and local governments will form a "reverse mechanism" for exceeding the planned loan demand, but as long as the central government deems it necessary, the scale of loans can be controlled.

as far as correlation is concerned, under the planned economy, there is a high correlation between loan scale and economic growth and price rise. Enterprise funds are mainly provided by banks, loans increase, the scale of enterprise production expands, and economic growth accelerates. The expansion of enterprise production scale means an increase in labor input and cash expenditure such as wages, which leads to an increase in consumer prices. In addition, the loan scale directly affects the total social demand. Under the planned economy, loan is the only way to increase the money supply, and the loan scale has a very high correlation with the money supply. The amount of money supply is crucial to the total demand.

there are limitations in the loan scale as an intermediate target of monetary policy. Only when the loan scale has a stable relationship with the money supply can the loan scale have a stable correlation with economic activities. Without the strict planning system, this correlation is also lost. The basis of the controllability of loan scale is the credit fund distribution system formed under the planned economy system. With the change of the system, it is difficult and unreasonable to control the loan scale by single deposit.

The above research can draw a basic conclusion, that is, the credit scale (annual new loans) is not suitable as the intermediate target of monetary policy, and the central bank should not and should not control the credit scale. Article 5 of the newly revised Law of the People's Bank of China stipulates that "the decisions made by the People's Bank of China on the annual money supply, interest rate, exchange rate and other important matters stipulated by the State Council shall be implemented after being approved by the State Council". It can be seen that the law has not explicitly given the function of controlling the credit scale to the People's Bank of China, nor has it explicitly taken the new credit amount as the intermediary goal of monetary policy.

in fact, under the basic trend of financial liberalization and economic globalization, even the connection between money supply and domestic economic activities is becoming increasingly loose, and it is becoming more and more difficult for monetary authorities to control money supply (that is, the controllability is declining). In this context, it has become unrealistic for credit scale to continue to be the intermediate target of monetary policy. In fact, the policy practice of various countries shows that the flexibility, transparency and reliability of the target system have become the key elements in the choice of intermediate targets of monetary policy in various countries.

Of course, the credit scale is useful for observing the macro-economic operation, and we can't ignore it just because it is not suitable as an intermediate target of monetary policy. To some extent, it is a barometer to observe the macro-economic operation in China.