China Adopts 'Moderately Loose' Monetary Policy

China's central bank announced a 'moderately loose' monetary policy to boost domestic demand and spur economic growth, following President Xi Jinping's call for more proactive macroeconomic measures. This policy aims to tackle challenges from a property market crisis, weak consumption, and high government debt through potential interest rate cuts and reductions in the reserve requirement ratio. The People's Bank of China also emphasized reducing financial risks, supporting local governments financially, and enhancing financial resource efficiency. Structural monetary policy tools are set to support technology, green, and digital finance to stimulate economic vitality. Economists remain cautious, suggesting more direct stimulus might be needed for the government's growth targets.