Aggregate financing to China real economy grows 7.4 percent

Outstanding aggregate financing to the real economy reached RMB 463.27 trillion at end-July 2026, driven by a 14.1 percent year-on-year growth in government bond issuance to RMB 102.68 trillion and a 9.2 percent expansion in corporate bonds to RMB 36.47 trillion.

Outstanding RMB loans to the real economy increased 5.2 percent to RMB 278.57 trillion, accounting for 60.1 percent of total financing.

In the first seven months of 2026, total new aggregate financing added RMB 22.25 trillion, down RMB 1.74 trillion from the prior year.

New RMB loans totaled RMB 10.38 trillion over the period.

Notably, enterprise loans expanded by RMB 11.00 trillion, offsetting an RMB 827.1 billion contraction in household borrowing.

Broad money supply (M2) rose 7.7 percent year on year to RMB 355.51 trillion at end-July, while narrow money (M1) grew 4.0 percent to RMB 115.46 trillion under the revised measurement framework.

Total RMB deposits reached RMB 346.47 trillion, up 8.1 percent year on year, supported by an RMB 17.79 trillion expansion across the first seven months.

In the interbank market, money market rates eased slightly in July, with the weighted average interbank lending rate falling 0.05 percentage points year on year to 1.40 percent and the pledged repo rate dropping to 1.42 percent.