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- PBoC’s Vice Governor Pan: We must step up monetary and credit policy support
PBoC’s Vice Governor Pan: We must step up monetary and credit policy support
- China still has policy space for normal monetary policy to support economy
- Economic impact from COVID-19 outbreak has exceeded expectations
- New innovative policy tools to boost small banks' lending to small firms are short-term policy arrangements, not QE
- Chinese banks' asset quality could be affected as economy faces downward pressure
- Big banks should also step up lending to small firms, although they won't get policy support
- Small banks will get interest-free loans based on 40% of their lending to small firms via innovative policy tools
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