It is reported that when answering a reporter's question, Chen, deputy governor of the central bank, pointed out that after the spread of the international epidemic, all countries in the world have introduced various measures to increase liquidity and reduce the financing cost of the real economy, including a relatively large interest rate cut. Of course, some countries are also raising interest rates to keep their currencies stable.
As far as the direction of China's monetary policy in the next stage is concerned, it is mainly to grasp the following aspects: First, grasp the strength, rhythm and focus of monetary policy in stages, and always maintain a reasonable and abundant liquidity, especially to achieve the basic match between the growth rate of M2 and social financing scale and the nominal GDP growth rate, which can be slightly higher. Chen added that M2 increased by 8.8% year-on-year in February, and the stock of social financing scale increased by 10.7% year-on-year. These two indicators well reflect our monetary policy orientation.
The second is to give full play to the unique role of structural monetary policy. Whether it is a special refinancing of 300 billion yuan or a new refinancing and rediscount quota of 500 billion yuan, financial institutions should be guided to increase credit support, especially for core enterprises in the industrial chain and small and medium-sized private enterprises in the upstream and downstream. In addition, the structural monetary policy includes directional reduction of the deposit reserve ratio and additional directional reduction of the deposit reserve ratio for joint-stock banks, which has played an incentive and guiding role for these institutions and aspects, and these policies should be further applied.
The third is to give full play to the role of policy finance. It is necessary to make good use of the special credit line of 350 billion yuan for policy banks, and give large-scale credit support to small and micro enterprises and private enterprises to resume production and operation, to key areas of spring ploughing, to pig production, and to foreign trade production, especially the international supply chain.
Fourth, we should increase support for small and medium-sized banks to replenish capital and issue financial bonds, with the aim of further enhancing the overall willingness and ability of commercial banks to provide credit.
Finally, we should continue to promote the reform of LPR and guide the real interest rate of loans to continue to decline. We should actively guide the banking system to give profits to the real economy appropriately, so that "stable economy" and "stable finance" can win-win.