Since the deployment of a package of incremental policies at the Central Politburo meeting on September 26 last year, the financial sector has continued to increase its countercyclical adjustment efforts, from comprehensive reserve requirement ratio cuts and interest rate cuts to precise support for key areas and weak links of the national economy. The series of policies have exceeded expectations, been strong, have multiple tools, and have been implemented quickly. Over the past year, the total financial output has remained stable, financing costs have decreased, and credit structures have been optimized. The effects of policies have permeated various fields and micro "terminals" of the real economy: small and micro enterprises in Fujian have eased their capital turnover pressure through low interest loans; Manufacturing enterprises in Jiangxi province have saved high "bridge tolls" through "clear paper loans"; Technology companies' financing has received new support from the bond market; Resident consumer loans have been able to reduce their interest burden due to the interest subsidy policy... Faced with various difficulties and challenges, the financial "live water" continues to reduce costs, expand coverage, and improve quality, injecting momentum and boosting confidence into the economic recovery. The cost of financing has decreased, and the millennium kiln fire continues to thrive. ”In Cizao Town, Jinjiang City, which has a history of over 1500 years in pottery making, there are numerous ceramic building materials enterprises of all sizes. After the processes of grouting, forming, repairing, glazing, firing, and cooling, the antique bricks are transported from the factory of Minhai Ceramics Co., Ltd. in Quanzhou, Fujian Province to various parts of the country. Just expanded the production line, and the funds for Minhai Ceramics are tight. Quickly, a factory quick loan of 10 million yuan with an interest rate of 2.65% seemed like a "timely rain" to alleviate the financial pressure on the enterprise. The person in charge of the enterprise, Su Jinsheng, said that the loan applied for at China Construction Bank was processed within a week without delaying production and operation. This reduction in loan interest rates is benefiting numerous businesses and households. According to the latest data, in August of this year, the weighted average interest rates for new loans issued to enterprises and personal housing were both about 3.1%, which were about 40 and about 25 basis points lower than the same period last year, respectively. Behind the record low loan interest rates is the continuous increase in countercyclical adjustment efforts by macroeconomic policies. In the past year, the central bank has lowered the reserve requirement ratio by 0.5 percentage points twice, releasing a total of about 2 trillion yuan in liquidity; The policy interest rate for 7-day reverse repurchase operation has cumulatively decreased by 30 basis points, driving the "anchor" of loan pricing - the two term loan market quoted interest rate (LPR) has cumulatively decreased by 35 basis points. As another component of comprehensive financing costs in addition to interest costs, non interest financing costs of enterprises have also entered a downward channel. Previously, loans were like opening a blind box, only to discover hidden fees such as mortgage fees, guarantee fees, intermediary service fees, and evaluation fees after signing the contract. ”The head of a small and micro enterprise said that after the layers of fees are stacked, even if the loan interest itself is not high, the perceived financing cost is still high. Starting from September 2024, the People's Bank of China launched a pilot program to specify the comprehensive financing cost of enterprise loans, which currently covers the vast majority of provinces in China. In the pilot program, banks will work with enterprises to fill out the "Comprehensive Financing Cost List for Enterprise Loans", using a "loan understanding paper" to list the various expenses that enterprises need to bear for borrowing, and calculate the "safe account" for financing. Jiangxi Precision Manufacturing Co., Ltd. is one of the beneficiaries of this policy. During the critical period of upgrading production equipment, the enterprise's loan from Postal Savings Bank is about to expire, and the turnover of working capital is tight. If the bridge funds are raised through intermediary agencies, a financing cost of over 150000 yuan needs to be paid. The transfer occurred during the process of filling out the "loan understanding paper". Postal Savings Bank of China found that the enterprise meets the conditions for handling non repayable loan renewal business and customized a lower interest rate renewal plan for it, ultimately saving about 219000 yuan in comprehensive financing costs. The implementation of a package of incremental financial policies has achieved significant results, with positive improvements in financial volume, financing costs, credit structure, and financing convenience. ”Tian Xuan, Dean of the National Institute of Finance at Tsinghua University and Vice Dean of the PBC School of Finance at Tsinghua University, said in an interview with Shanghai Securities News. In the past year, the credit structure has been optimized, and the growth rate of China's social financing scale, money supply, and other financial aggregates has always been higher than the economic growth rate of the same period, creating a favorable monetary and financial environment for the development of the real economy. The central bank disclosed that as of the end of August this year, the stock of social financing was 433.66 trillion yuan, a year-on-year increase of 8.8%; The balance of broad money (M2) was 331.98 trillion yuan, a year-on-year increase of 8.8%. The total financial output maintains reasonable growth, providing ample financial support for the real economy. At the same time, the credit structure continues to optimize, and the growth rate of loans in key areas is significantly higher than the overall level. Funds are concentrated in weak links of the real economy and areas of new quality productivity. ”Tian Xuan said. Focusing on the needs of economic transformation and upgrading, as well as high-quality development, the "living water" of finance continues to flow into fields such as technology, green, inclusive, elderly care, and digital. According to data disclosed by the central bank, as of the end of June this year, the balance of science and technology loans in China reached 44.1 trillion yuan, a year-on-year increase of 12.5%; Green loans, inclusive loans, pension industry loans, and digital economy industry loans increased by 25.5%, 11.5%, 43.0%, and 11.5% respectively year-on-year, all of which were higher than the growth rate of all loans. Since the beginning of this year, China's technological "narrative" has attracted global attention, and a group of technological innovation "fresh forces" have ushered in a "highlight moment". In February, at the Yuhang District Economic High Quality Development Conference in Hangzhou, the speaker Zhu Mingming, founder and CEO of Lingban Technology, did not have a speech in his hand. The speech is on the glasses he wears, and the page is turned through the ring on his hand. Dedicated to the research and development of software and hardware products such as AR glasses, Lingban Technology's AI and AR products have been put into use in more than 80 countries and regions. Financial power provides strong support for the growth and expansion of this technology-based enterprise. Hangzhou Bank has established credit cooperation with enterprises since 2020 and continued to issue loans to them in the first quarter of this year to support their investment in technology research and development. At the same time as the volume of technology loans increases, prices decrease, and coverage expands, the technology finance system that is compatible with technological innovation continues to improve, helping to expand technology achievements from "laboratories" to "production lines" - expanding technology innovation and technological transformation loans by 300 billion yuan, and encouraging banks to increase credit support for technology-based enterprises; The emergence of the "technology board" in the bond market has expanded diversified financing channels for technological innovation... Suzhou Jinhesheng Holdings Co., Ltd., one of the first "early adopters", raised 600 million yuan through the issuance of technology innovation bonds, mainly for the investment and replacement of subsidiary venture capital funds, providing financing support for technology-based enterprises in the form of equity. Suzhou Wushuang Medical is one of the invested companies that benefited from this fundraising. The person in charge of the company, Ping Lichuan, said that the company's long-term research and development of implantable cardiac defibrillators project will help the company accelerate breakthroughs in core technologies, increase production capacity, and optimize AI remote response, which is crucial for the company's development. By the end of June this year, 288 entities in the entire market had issued approximately 600 billion yuan worth of technology innovation bonds, with bond issuing companies involved in multiple cutting-edge emerging fields such as integrated circuits, intelligent computing centers, and biomedicine. Since the beginning of this year, the trend of stable economic growth in China has not changed, but the economy is facing risks and challenges such as insufficient demand and increased external uncertainty. In this context, the financial sector continues to strengthen financial support for key areas and weak links such as consumption, small and micro enterprises, and foreign trade. I am currently renovating my new house. The preliminary cost for furniture and household appliances is estimated to be around 100000 yuan. ”Ms. Wang, a consumer, told a reporter from Shanghai Securities News that this significant expense gave her the idea of using loans to alleviate financial pressure. After the introduction of the personal consumption loan interest subsidy policy, Bank of China staff introduced the preferential policy to it -100000 yuan, one-year loans can enjoy up to 1% annual interest subsidy, which will save about 1000 yuan in interest. A series of incremental policies are using the power of financial "leverage" to tap into consumer potential: implementing individual consumption loan interest subsidy policies and service industry operating entity loan interest subsidy policies, issuing the "Guiding Opinions on Financial Support to Boost and Expand Consumption", establishing a 500 billion yuan service consumption and elderly care refinancing tool... Focusing on supporting the stable and healthy development of the capital market, the central bank innovatively launched two monetary policy tools to support the capital market last year, and adjusted and optimized relevant policies in May this year; To help stabilize the real estate market, the central bank launched five measures in September last year, including optimizing the minimum down payment ratio for personal housing loans and lowering the interest rate for existing housing loans. In May of this year, the interest rate for personal housing provident fund loans was also lowered... The financial policies launched in the past year to stabilize the stock market and the real estate market have effectively boosted market confidence and expectations. The policy of stabilizing the financial, stock, and real estate markets has achieved significant results in preventing risks and stabilizing expectations, and the stock and real estate markets are gradually stabilizing. ”Tian Xuan stated that since 2025, capital market volatility has significantly decreased, major stock market indices have fluctuated upwards, market participation and capital activity have increased, and market confidence has significantly rebounded. With the continuous increase of real estate financial support policies, commercial banks have significantly improved their financing services for high-quality real estate enterprises; The decrease in personal housing loan interest rates has also driven a moderate recovery in residents' demand for home purchases, and the transaction volume of the real estate market in many places has improved month on month. Looking ahead to the next stage of monetary and credit policies, Wang Qing, Chief Macro Analyst of Dongfang Jincheng, told Shanghai Securities News reporters that based on the current changes in economic growth momentum, price level trends, and the need for greater efforts to stabilize the real estate market, it is expected that monetary policy will maintain a supportive stance. The main focus will be on reducing financing costs for enterprises and residents, increasing credit availability, activating endogenous financing demand, and thus vigorously boosting domestic demand. Tian Xuan suggests maintaining reasonable and sufficient liquidity, reducing reserve requirement ratios at appropriate times, releasing long-term funds, and guiding LPR to further decline to ensure that M2 and social financing scale growth rates match economic growth targets; Strengthen the precise drip irrigation of structural monetary policy tools, expand the scale of re lending for scientific and technological innovation and transformation, expand the scope of application of risk sharing tools for scientific and technological innovation bonds, pilot the "specialized, refined, special and new loans" risk compensation mechanism, etc., and enhance support for advanced manufacturing, green and low-carbon fields; Further optimize the financing facilitation mechanism, establish a "whitelist" system for private enterprise financing, and simplify the foreign exchange settlement process for cross-border e-commerce and foreign trade enterprises. (New Society)