China's central bank to help stabilize financial markets

China's central bank to help stabilize financial markets

This file photo taken on March 13, 2018 shows the headquarters of the People's Bank of China. CAI YANG XINHUA BEIJING - China's central bank said on Wednesday that it will build an effective mechanism to provide financial support for the real economy.

According to a quarterly monetary policy implementation meeting of the People's Bank of China, the bank will make solid efforts to stabilize industrial and supply chains, while encouraging financial institutions to step up their issuance of loans to the manufacturing industry.

The bank called for efforts to expand the issuance of inclusive loans to micro and small businesses, as well as to help them stabilize employment.

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The central bank will make full use of its supporting tools for carbon reduction, as well as its re-leasing facilities for the clean and efficient use of coal, sci-tech innovation, inclusive elderly care, transport and logistics.

On stabilizing the financial market, the bank stressed the need to fine-tune market-oriented interest rate formation and the transmission mechanism for interest rates, and the need to optimize the policy interest rate system and tighten the regulation of deposit interest rates.

It wants to reduce financing costs for enterprises, increase debt costs, and maximize the functions of the loan prime rate.

The bank said that efforts will be made to ensure the sound development of the property market and to prevent financial risks due to the country's financial opening-up.