China Central Bank vows stronger policy support to achieve economic growth targets

China's central bank has pledged to step up counter-cyclical policy adjustments, boost domestic demand and optimise supply as it seeks to achieve its annual economic development targets amid mounting domestic and external challenges, Reuters reported.

In its third-quarter monetary policy implementation report released on Wednesday, the People's Bank of China (PBOC) acknowledged growing pressure on the economy, citing an imbalance between strong supply and weak demand, structural challenges and external shocks, Reuters reported.

Read more: Chinese yuan edges higher, but stronger dollar caps gains


The central bank said the global environment had become increasingly complex and volatile, adding to the difficulties facing the world's second-largest economy.

According to the report, the PBOC will continue to implement an appropriately loose monetary policy to maintain favourable monetary and financial conditions and support stable economic growth.

The central bank also reiterated its commitment to adjusting monetary policy tools in a timely manner, signalling its readiness to introduce further measures depending on economic conditions.

The PBOC said it would work to keep overall borrowing costs low while maintaining the yuan exchange rate at a basically stable level around a reasonable and balanced range, Reuters reported.

Read more: South Korean shares rise as tech stocks rebound on Wall Street

The report also highlighted the need to strengthen financial support for key sectors, including domestic demand, scientific and technological innovation, and infrastructure development.

Additionally, the central bank pledged to expand its policy toolkit and safeguard the stable functioning of China's stock, bond and foreign exchange markets.

The latest commitments underline Beijing's efforts to support economic activity, address structural imbalances and cushion the economy against external uncertainties as policymakers work towards meeting the country's annual growth objectives.

(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times)