Monetary policy is closely related to every family and every enterprise, as well as to the vital interests of the general public.

"The most important thing is to protect the money bags in the hands of the common people, so that the bills in the hands of the common people will not become 'gross' and worthless; let the masses of the people share the benefits of the country's economic development, and their income will grow steadily." The People's Bank of China pointed out, This is also the legal objective of the monetary policy of the People's Bank of China to "maintain the stability of the currency value and thereby promote economic growth".

　　In recent years, based on the national conditions, my country has adhered to the implementation of a prudent monetary policy, controlled the "master gate" of the currency, avoided flooding, and guarded the money bags of the common people.

At the same time, it will give full play to the dual functions of monetary policy adjustment in aggregate and structure, and strengthen cross-cycle adjustment in a forward-looking manner, so as to effectively promote stable growth, stable prices, stable employment and balance of international payments.

　　Focusing on the duty of serving the real economy, my country is continuously deepening the structural reform of the financial supply side, improving the quality and efficiency of financial services, and promoting high-quality economic development.

The prudent monetary policy is also increasing its efforts and showing its warmth. By stabilizing the economy, stabilizing employment, and stabilizing prices, it will continue to protect the money bags of the people.

Stability takes the lead to restrain the exchange rate from fluctuating

　　"Thousands of tricks and ten thousand tricks, if you can't control the currency is a useless trick." In recent years, the People's Bank of China has scientifically grasped the strength of monetary policy in accordance with changes in the economic and financial situation, not only maintaining a reasonable and sufficient liquidity, and promoting a reasonable money supply and social financing scale. growth, and resolutely do not engage in "flooding", keep the economy near potential output, and reduce economic fluctuations.

　　Data released by the People's Bank of China shows that since 2012, the average annual growth rate of broad money supply (M2) has been 10.8%, which basically matches the average annual growth rate of nominal GDP, which has effectively promoted the steady development of the national economy.

　　After the outbreak of the novel coronavirus pneumonia, my country has adhered to a prudent monetary policy orientation and kept its monetary policy within a normal range. It is one of the few countries in the world's major economies that implements a normal monetary policy.

　　"By insisting on implementing a prudent monetary policy and not engaging in 'flooding', high inflation and serious asset price bubbles can be effectively avoided, and low-income groups can be guaranteed to increase their income and preserve and increase their wealth," said Wang Xin, director of the Research Bureau of the People's Bank of China.

　　Experts believe that it is precisely because the monetary policy has maintained its composure and the "general gate" that my country can maintain the overall stability of the price situation and support the stability of the macroeconomic market in the context of the current global high inflation.

Data recently released by the National Bureau of Statistics showed that, on average from January to September 2022, the national consumer price rose by 2.0% over the same period of the previous year, remaining below the expected annual CPI control target.

　　Throughout the world, successful economies must maintain currency stability, which includes not only the stability of domestic price levels, but also the basic stability of exchange rates.

"If the exchange rate depreciates significantly, even if the value of the GDP in the local currency rises, it will affect the country's position in international competition and the purchasing power of ordinary people," said Yi Gang, governor of the People's Bank of China.

　　The People's Bank of China reiterated recently that it will take comprehensive measures to stabilize expectations, resolutely curb the exchange rate fluctuations, and maintain the basic stability of the RMB exchange rate at a reasonable and balanced level.

Facts have proved that in the past several rounds of major shock tests, the RMB exchange rate can be adjusted quickly and returned to equilibrium in a relatively short period of time.

Continuously innovate to improve the quality and efficiency of regulation

　　From comprehensive RRR cuts and interest rate cuts, to targeted RRR cuts and interest rate cuts, to precise drip irrigation with structural tools... In recent years, my country's monetary policy control tools have been continuously enriched, and a series of monetary and financial policies have been intensively implemented, which timely and accurately benefited key areas and weak links. , the ability to serve the real economy continues to increase.

　　According to statistics, since 2018, the People's Bank of China has lowered the deposit reserve ratio 13 times, releasing 10.8 trillion yuan of long-term funds and supporting financial institutions to increase credit support for the real economy.

At the same time, the People's Bank of China has created more than ten new structural monetary policy tools, four of which have been newly established since 2022 alone, playing the dual functions of total adjustment and structural adjustment of monetary policy tools.

　　Chongqing Futai Coating Technology Co., Ltd. is a technology-based enterprise specializing in the research and development, manufacturing, sales and surface coating processing of automobiles and motorcycles and metal parts. The extension of the account period has led to a shortage of funds.

Chongqing Rural Commercial Bank learned about the difficulties of the company during the visit to help the company, and urgently issued an "Intellectual Property Pledge Loan" of 3 million yuan to it, and implemented a preferential loan interest rate, which effectively solved the company's urgent needs.

"This 3 million yuan loan is really 'timely rain', ensuring that we can speed up production to meet the demand for orders, and this year is expected to achieve the annual production target." The person in charge of Chongqing Futai Coating Technology Co., Ltd. said.

　　The co-chief economist of CITIC Securities clearly stated that the incentive compatibility mechanism of structural monetary policy tools can accurately drip irrigation into the real economy and release the base currency, maintain a reasonable and sufficient liquidity in the banking system, and balance the advance and redundancy of policies.

　　"In the future, while making good use of aggregate tools, we should continue to innovate and use structural tools to better play the role of monetary policy in supporting and serving the real economy and promoting high-quality economic development." said Lian Ping, president of Zhixin Investment Research Institute.

Empowering entities to stabilize the macroeconomic market

　　"Economic prosperity, financial prosperity; strong economy, strong finance." Focusing on the present, ensuring that the economy operates within a reasonable range is a prominent task.

Experts believe that the quality and efficiency of my country's financial services and financial management continue to improve, and the policy potential is still large. There are many favorable conditions for keeping the economy operating within a reasonable range and promoting high-quality economic development.

　　On the one hand, the financing cost of the real economy still has room for downside.

Since the beginning of this year, the financial management department has repeatedly promoted the reduction of financing costs for the real economy, and both the medium-term lending facility (MLF) interest rate and the loan market quoted rate (LPR) have declined.

According to data disclosed by the People's Bank of China, at the end of August 2022, the average interest rate of corporate loans was 4.05%, the lowest since statistics.

Wang Qing, chief macro analyst at Orient Jincheng, believes that continuing to guide the decline of LPR with a maturity of more than 5 years is the key to promoting the repair of residents' medium and long-term loans.

　　On the other hand, the potential of various structural monetary policy tools still needs to be tapped. In the future, the application of relevant tools can be accelerated to promote loan issuance. While accurately drip irrigation to the real economy, it can promote the stable growth of total credit and help the economy operate within a reasonable range.

Zhang Xu, chief fixed income analyst at Everbright Securities, believes that the current financial support for the real economy is solid, and the stability and quality of future credit growth will continue to improve on the basis of the previous period.

"Whether it is the total credit increase or the medium and long-term loan increase of enterprises, the changes have a certain trend, and they are currently in or about to enter an upward channel."

　　The 2022 third quarter regular meeting recently held by the Monetary Policy Committee of the People's Bank of China pointed out that it will strengthen cross-cyclical and counter-cyclical adjustments, increase the implementation of prudent monetary policy, give full play to the dual functions of monetary policy tools in terms of total volume and structure, and take the initiative to respond and tackle tough problems. To overcome difficulties, provide stronger support for the real economy, focus on stabilizing employment and prices, and stabilize the macroeconomic market.