The PBOC’s 2Q2026 monetary policy implementation report said authorities should de-emphasize focusing on loans as a single funding channel and instead monitor loans together with bond and other financing. The report cited a structural shift—capital‑intensive sectors such as property and infrastructure have been contracting while new productive capacity is less loan‑intensive, reducing natural bank loan demand and raising the relative importance of bonds and equities; it said tech firms require d

The PBOC’s 2Q2026 monetary policy implementation report said authorities should de-emphasize focusing on loans as a single funding channel and instead monitor loans together with bond and other financing. The report cited a structural shift—capital‑intensive sectors such as property and infrastructure have been contracting while new productive capacity is less loan‑intensive, reducing natural bank loan demand and raising the relative importance of bonds and equities; it said tech firms require diversified, lifecycle financing including bonds and equity. Data: 1H corporate bond and equity net financing totaled 2.4 trln yuan, roughly 1.0 trln yuan higher YoY; combined corporate loans, corporate bonds and equities rose by 13.5 trln yuan in 1H, about 600 bln yuan higher YoY.