cent in the second quarter of 2019, down from 6.4 percent in the first qua
rter but still within the government’s annual targeted range of 6-6.5 percent.上海龙凤419品茶微信
Despite the moderating GDP growth, activities rebounded visibly in June, with almost all the growth indicators beating expe
上海龙凤419ctations, a sign that effects of the government’s policies are filtering through, which will be more evident in
the second half, said Mao Shengyong, spokesman of the National Bureau of Statistics.
UBS economist Wang Tao expected the People’s Bank of China (PBO上海龙凤419品茶微信
C), the country’s central bank, to further ease liquidity to ensure continued credit reb
上海龙凤419ound in H2 and cut the reserve requirement ratio (RRR) by 100 basis points without adjusting the benchmark rates.
Cheng Shi, the chief economist with ICBC International Holdings Ltd, echoed Wang’s view and said followi
ng the possible rate cut of the Fed, the PBOC is lik上海龙凤419品茶微信
ely to lower the interest rates of open market operations or the medium-term lending facility.
上海龙凤419The PBOC adopted targeted RRR reduction twice this year to support priv
ate as well as micro and small enterprises. The latest RRR cut, announce
d in May and being conducted in three phases, unleashed a total of 280 billion yuan of liquidity into the market.
The government is expected to continue the proactive fiscal policy, w上海龙凤419品茶微信
ith more support for weak links such as public services and infrastructure.
上海龙凤419Meng Wei, a spokeswoman of the National Development and Reform Commission, said the government would p
ush forward the construction of major projects and boost investment in the private sector.
The growth of infrastructure investment is expected to rebound to “m上海龙凤419品茶微信
id-high single digits” in H2 from 4.1 percent in H1, said Wang Tao, the UBS economist.
The government could also ease the criteria for the issuance of sp上海龙凤419品茶微信
ecial local government bonds, and allow them to fund local infrastructure projects along with
major national projects, said Lian Ping, chief economist with the Bank of Communications.