At its Q2 MPC meeting the PBOC clarified its H2 monetary policy approach. PBOC Deputy Governor Zou Lan said policy will strengthen countercyclical and cross‑cycle adjustments based on domestic and external economic and financial conditions and market

2026-07-21

At its Q2 MPC meeting the PBOC clarified its H2 monetary policy approach. PBOC Deputy Governor Zou Lan said policy will strengthen countercyclical and cross‑cycle adjustments based on domestic and external economic and financial conditions and market developments. Analysts say inflation trends, domestic growth fundamentals and major economies’ monetary policies will be key determinants of PBOC operations. With government bond issuance accelerating in Q3, room for monetary easing may widen to complement fiscal support and bolster the macro outlook.