MNI China Press Digest April 18:Rate Cut, Pro-Growth, Shanghai

The following lists highlights from Chinese press reports on Monday:

• China may still cut interest rates as it needs increased loosening policies and more credit to support growth, the 21 Century Business Herald said citing analyst Li Zhan of China Merchant Fund. China may cut the loan prime rate (LPR) on this Wednesday, and should the pandemic continues to impact the economy, the rate on medium-lending facilities (MLF) could be further lowered in Q2, Li was cited as saying. On Friday, the central bank cut RRR by 25 bp. While the move wasn't enough to change the market’s overall direction, it helps boost investors’ confidence, the newspaper said.
• China is planning more coordinated policies to boost growth and counter downward economic pressures that have persisted since Q1, Vice Minister of Finance Liao Min said in a blog post by China Finance 40 Forum. China should avoid introducing policies that have significant contractionary effects, but will take more forceful measures to protect businesses and jobs and improve people’s living standards, Liao said. Financial authorities have introduced relevant policies to help logistics companies and workers deal with the pandemic, Liao said. Financial institutions are encouraged to boost services to logistics, storage and E-merchants, and they should also help those employed reduce debt burdens, said Liao.
• Shanghai has issued a “white list” of companies to accelerate their resumption of work and production, aiming to ensure the stability of the supply chain, especially in the auto and semiconductor sector, the Securities Times reported. Though being included in the white list, companies are still facing labor shortages and logistic difficulties as many communities in the city have not officially lifted the lockdown, the newspaper said citing an unnamed source from a semiconductor manufacturer. There are a total of 395 A-share listed companies registered or located in Shanghai, more or less affected by the epidemic, the newspaper added.