Rise in loans underscores China's monetary policy support for real economy

As of the end of July, China's total social financing stood at 431.26 trillion yuan ($60.1 trillion), up 9 percent year-on-year, the People's Bank of China (PBOC) said Wednesday.

Among this, yuan-denominated loans to the real economy totaled 264.79 trillion yuan, an increase of 6.8 percent from a year earlier, underscoring continued policy support for real economic growth.

An industry expert told CGTN that financing needs in the real economy are largely being met. Many cities are piloting "disclosure of comprehensive financing costs for corporate loans," which makes costs more transparent and helps ease financing burdens on businesses.

Meanwhile, China's broad money supply (M2) reached 329.94 trillion yuan at the end of July, up 8.8 percent year-on-year. Narrow money (M1) rose 5.6 percent to 111.06 trillion yuan, while currency in circulation (M0) climbed 11.8 percent to 13.28 trillion yuan.

From January to July, aggregate social financing increased by 23.99 trillion yuan, 5.12 trillion yuan more than in the same period last year, reflecting stronger financial support for economic activity.