Announcements from the People's Bank of China

China to Announce New Growth Policies on Oct. 8 After Largest Stock Surge Since 2008

Oct 6, 2024, 06:36 AM

China's government is intensifying efforts to stimulate economic growth with a series of sweeping measures that exceeded analysts' expectations. As part of the stimulus package, the People's Bank of China cut interest rates, lowered banks' reserve requirements, and implemented steps to reduce the cost of existing mortgages. Notably, the government introduced two new tools aimed at boosting the stock market, reflecting an innovative approach beyond traditional monetary policy. The measures, announced last week and evidently timed ahead of the 75th anniversary of the People's Republic of China on October 1, contributed to China's stock market experiencing its largest single-day surge since 2008. The State Council Information Office has scheduled a press conference for October 8, 2024, at 10:00 AM local time (2:00 AM GMT, 10:00 PM EST), where senior officials from the National Development and Reform Commission will outline the "comprehensive implementation of a package of incremental policies to boost economic growth" and address reporters' questions. This event coincides with the first trading day following China's week-long National Day holiday.