MNI BRIEF: China To Step Up Policy Support As Needed

China will further enhance its proactive fiscal stance and moderately loose monetary policy to unlock existing policy effects fully, while stepping up intensity when needed, according to Xinhua News Agency following Wednesday’s Politburo meeting.

Authorities pledged to accelerate the issuance and use of government bonds and improve the efficiency of fund deployment. The People’s Bank of China was tasked with maintaining ample liquidity, guiding lower social financing costs and increasing support for technology, consumption, small and medium-sized enterprises, and foreign trade.

The meeting also called for efforts to boost consumer demand through improved social welfare and expanded service consumption, and to drive effective investment by promoting the construction of key national infrastructure projects. (See MNI: Beijing Preps Policy-based Bonds Aimed At Infrastructure)