China's July M2 Growth Slows to 7.7% as Weak Credit Demand Clouds 5% Goal
Updated
Updated · bitcoinworld.co.in · Aug 14
China's July M2 Growth Slows to 7.7% as Weak Credit Demand Clouds 5% Goal
3 articles · Updated · bitcoinworld.co.in · Aug 14
Summary
China’s broad M2 money supply rose 7.7% in July, missing the 7.9% forecast and easing from June’s 7.8% pace in a fresh sign of soft liquidity growth.
New yuan loans and aggregate social financing also came in below expectations, indicating households and businesses are still reluctant to borrow amid deflationary pressure and a weak property sector.
The softer data suggests recent PBOC easing—including reserve-ratio and lending-rate cuts—has not fully translated into stronger credit creation across the economy.
That keeps pressure on Beijing to add policy support and raises doubts about the strength of China’s recovery as officials pursue growth of around 5% this year.