The People's Bank of China (PBOC) Thursday announced a cut in interest rates on all structural monetary policy tools by 0.25 percentage points as the country continues to implement a moderately loose monetary policy in 2026.
Zou Lan, spokesperson and deputy governor of the PBOC, said at a press conference held by the State Council Information Office that the move aims to increase banks' credit supply to key areas.
Meanwhile, the central bank will improve structural toolkits to further promote economic structural improvement and upgrading, Zou said
"The interest rates on various structural monetary policy tools will be lowered by 0.25 percentage points. The one-year relending rate will be cut from the current 1.5 percent to 1.25 percent while the interest rates for other maturities will be adjusted accordingly," said Zou.
Structural monetary policy tools are central bank instruments designed to incentivise banks to readily allocate credit resources to targeted areas, such as sci-tech, green development and financial inclusion by providing funds at preferential interest rates via its lending facilities.
China cuts interest rates on structural monetary policy tools by 0.25 percentage points
The multilateral system is "under attack" amid global turmoil, President of the 80th UN General Assembly Annalena Baerbock warned in her remarks on Wednesday.
In her briefing on the priorities for the resumed 80th Session of the General Assembly, the UNGA president noted that the current multilateral system does not collapse all in a sudden, but "crumbles piece by piece" in divisions, compromises, and lack of political commitment.
The president called all the UN member states to defend the UN Charter and international law and promote cross-regional cooperation.
She also urged to push forward the work of the UNGA on certain critical issues with a strong majority, rather than an absolute consensus among all member states. Such act is not a failure of multilateralism, but "an affirmation of it," she said.
The foundational principles of the institution should not be eroded by appeasement, she said, calling the member states to show courage, leadership, and responsibility at the UN's "critical make-or-break moment."
"The UN needs you. Your support, your leadership, your principle, stand, your cross-regional cooperation, if we are to preserve and modernize this institution, if we are to make it, rather than break it," she said.
UNGA President warns global multilateral system "under attack"
UNGA President warns global multilateral system "under attack"
