In the first two months of this year, new loans in the mainland amounted to 5.61 trillion yuan, slightly higher than market expectations

In the first two months of this year, new loans in the mainland reached 5.61 trillion yuan (RMB), slightly higher than market expectations. The People's Bank of China pointed out that from a sectoral perspective, household loans decreased by 194.2 billion yuan, of which short-term loans decreased by 359.6 billion yuan, while medium- and long-term loans increased by 165.4 billion yuan. Loans to enterprises increased by 5.94 trillion yuan, with short-term loans increasing by 2.65 trillion yuan, medium- and long-term loans increasing by 4.07 trillion yuan, and bill financing decreasing by 908.9 billion yuan; loans from non-bank financial institutions decreased by 198.7 billion yuan. The People's Bank also indicated that according to preliminary statistics, the cumulative increase in social financing scale in the first two months of this year was 9.6 trillion yuan, higher than expected, and 316.2 billion yuan more than the same period last year. Among them, RMB loans issued to the real economy increased by 5.75 trillion yuan, a year-on-year decrease of 124.8 billion yuan; foreign currency loans issued to the real economy, converted to RMB, increased by 43.3 billion yuan, which was an increase of 110.5 billion yuan; entrusted loans decreased by 37.3 billion yuan, a year-on-year decrease of 59.3 billion yuan; trust loans increased by 30.5 billion yuan, an increase of 1.2 billion yuan; undiscounted bank acceptance bills increased by 453.8 billion yuan, a year-on-year increase of 287 billion yuan; net financing of corporate bonds was 655.4 billion yuan, a year-on-year increase of 39.8 billion yuan; net financing of government bonds was 2.38 trillion yuan, a year-on-year decrease of 9.4 billion yuan; domestic stock financing of non-financial enterprises was 74.5 billion yuan, a year-on-year increase of 19.5 billion yuan. Data from the People's Bank shows that preliminary statistics indicate that by the end of February 2026, the stock of social financing scale was 451.4 trillion yuan, an increase of 8.2% year-on-year. The People's Bank also indicated that by the end of February, the balance of deposits in both RMB and foreign currencies was 345.72 trillion yuan, an increase of 8.8% year-on-year. Among them, the balance of RMB deposits was 337.94 trillion yuan, an increase of 8.7% year-on-year. In the first two months, RMB deposits increased by 926 billion yuan. Among them, household deposits increased by 524 billion yuan, non-financial enterprise deposits decreased by 44.5 billion yuan, fiscal deposits increased by 1.2 trillion yuan, and deposits from non-bank financial institutions increased by 284 billion yuan. By the end of February, the balance of foreign currency deposits was 1.12 trillion USD, a year-on-year increase of 20.5%. In the first two months, foreign currency deposits increased by 63.8 billion USD. In February of this year, the M2 money supply balance was 349.22 trillion yuan, an annual increase of 9%, expected at 8.9%, previous value 9%; the M1 money supply balance was 115.93 trillion yuan, an annual increase of 5.9%, expected at 5.1%, previous value 4.9%; the M0 money supply balance was 15.14 trillion yuan, an annual increase of 14.1%, previous value 2.7%. In the first two months, net cash injection was 1.05 trillion yuan. On the other hand, to maintain ample liquidity in the banking system, the People's Bank will conduct a 500 billion yuan reverse repurchase operation with a fixed amount, interest rate bidding, and multiple price winning methods next Monday (16th), with a term of 6 months (182 days)