China's central bank has pledged to roll out additional pragmatic policy measures and step up countercyclical adjustments to consolidate the country's economic recovery, even as some other major central banks lean toward tighter monetary policy.
In its second-quarter monetary policy report released on Wednesday, the People's Bank of China said it will "plan and introduce practical and effective incremental policy measures in a timely manner" while making comprehensive use of monetary policy tools and adjusting them when deemed necessary.
Vowing to step up countercyclical adjustments, the central bank said it aims to maintain ample liquidity, relatively accommodative financing conditions and low overall financing costs.
The report noted that the external environment has become more complex due to weak global growth momentum, persistent geopolitical conflicts and trade frictions, ongoing supply shocks and imported inflationary pressures, as well as rising global inflation.
Against this backdrop, major central banks are shifting toward adjusting their monetary policies, the PBOC acknowledged, as the United States Federal Reserve held its policy rate steady, yet signaled a hawkish bias, while the European Central Bank and the Bank of Japan each raised rates by 25 basis points this year.
