MNI China Press Digest Nov 29: PBOC, Li Qiang, HKEX

Highlights from Chinese press reports on Wednesday:

• The People's Bank of China still has room for lowering the policy interest rate to stabilise the economic recovery and reduce government debt pressure, said Zhang Jun, chief economist at Galaxy Securities. Money supply will likely maintain steady growth to solidify the recovery especially when real estate is still adjusting, said Wang Qing, analyst at Golden Credit Rating. Wang noted that the subsequent credit supply will not only emphasise the new scale, but also focus on precise lending and revitalising existing credit funds, as the central bank said in its Q3 monetary-policy report that it will “accurately grasping the laws of supply and demand and new characteristics of money and credit”. (Source: Securities Daily)
• China’s Premier Li Qiang has proposed a four-point plan to increase cooperation on international supply chains, as the current world economic recovery remains difficult. Li, speaking at the China International Supply Chain Promotion Expo in Beijing said authorities want to strengthen the coordination of resources in key industrial chains and will refrain from making market interventions. Additionally, China will develop international connectivity using projects such as the Belt and Road Initiative to enhance innovative cooperation involving intelligent manufacturing and digital economy. China will work to resist decoupling and build an industrial supply chain that is win-win, he added. (Source: Yicai)
• The Hong Kong Stock Exchange has signed an MoU with the Beijing Green Exchange (CBGEX) to promote green finance and sustainable development, according to a notice on its website. Both sides will cooperate to meet China’s growing investment needs for green infrastructure and low-carbon transformation. Winnie Sin, head of emerging business at HKEX, said the agreement includes plans to develop opportunities in regional and international markets. (Source: Yicai)