28 September 2026 | 11:05PM HKT Economics Research China: Premier Li Pledges Incremental, Modest Easing to Meet the Full-Year Growth Target Bottom line: At the State Council meeting today (28 September), Premier Li pledged to "launch a package of pragmatic and effective incremental policy measures" and reaffirmed the commitment to "strive to achieve the full-year economic and social development targets." He highlighted the use of unspent local government bond issuance quotas accumulated from previous years, ...

Assessing the Impact of Structural Monetary and Fiscal Policies on Banks China policymakers announced a combination of targeted fiscal and monetary easing measures on September 29, including a 25bp cut in the PSL (pledged supplementary lending) rate, an expansion of PSL support to the "Six Networks" projects, higher quotas for various relending programs, and the first-ever mortgage interest subsidy for eligible first-home purchases (see GS Macro report). From a banking perspective, we believe this latest ro ...