The regular meeting of the Monetary Policy Committee of the people's Bank of China in the third quarter of 2021 was held in Beijing on September 24. The meeting analyzed the economic and financial situation at home and abroad. The meeting held that since the beginning of this year, China has made overall efforts to promote epidemic prevention and control and economic and social development, effectively implemented macro policies, and the economy as a whole has continued to recover. Prudent monetary policy should maintain continuity, stability and sustainability, scientifically manage market expectations, strive to serve the real economy, and effectively prevent and control financial risks. The loan market quotation interest rate reform dividend continues to release, the monetary policy transmission efficiency increases, the loan interest rate falls steadily, the RMB exchange rate is expected to be stable, and the two-way floating flexibility is enhanced, giving full play to the function of macroeconomic stabilizer.
The meeting pointed out that the current global epidemic is still evolving, the external environment is becoming more severe and complex, and the domestic economic recovery is still unstable and uneven. It is necessary to strengthen the research and analysis of marginal changes in the economic situation at home and abroad, strengthen the coordination of international macroeconomic policies, guard against external shocks, concentrate on running our own affairs, do a good job in the design of cross-cycle policies, and do a good job in the convergence of macro policies this year and next year. We will support high-quality economic development. A prudent monetary policy should be flexible, accurate, reasonable and moderate, maintain reasonable and abundant liquidity, enhance the stability of the growth of total credit, and keep the growth rate of money supply and the scale of social financing basically in line with the nominal economic growth rate. keep the macro leverage ratio basically stable.
We will persist in giving more prominence to serving the real economy, maintain the overall stability of the economy, and enhance the resilience of economic development. We will deepen structural reform on the financial supply side, guide the sinking of the service focus of large banks, encourage small and medium-sized banks to focus on their main responsibilities, enhance the vitality and resilience of the financial market, and improve a modern financial system that is highly adaptable, competitive, and inclusive. Support banks to replenish capital, improve their ability to serve the real economy and guard against financial risks.
We will improve the formation and transmission mechanism of market-oriented interest rates, improve the central bank's policy interest rate system, optimize the supervision of deposit rates, continue to unleash the potential for the reform of quoted interest rates in the loan market, and further lower real lending rates. We should deepen the market-oriented reform of the exchange rate, enhance the flexibility of the RMB exchange rate, guide enterprises and financial institutions to adhere to the concept of "risk-neutral", strengthen expectation management, and grasp the balance between internal and external equilibrium. keep the RMB exchange rate basically stable at a reasonable equilibrium level.
We will build an institutional mechanism for finance to effectively support the real economy, improve the innovation system of financial support, guide financial institutions to increase medium-and long-term loans to the manufacturing industry, strive to ensure that financial support for private enterprises is compatible with the contribution of private enterprises to economic and social development, and promote the implementation of carbon emission reduction support tools in an orderly manner, so as to improve the green financial system with the goal of achieving carbon peak and carbon neutralization. Maintain the healthy development of the real estate market and safeguard the legitimate rights and interests of housing consumers. We will promote high-level two-way opening up of finance, and improve the ability of economic and financial management and the ability to prevent and control risks under open conditions.
The meeting stressed that it is necessary to adhere to the general tone of the work of seeking progress in the midst of stability, give priority to the word, fully, accurately and comprehensively implement the new concept of development, deepen supply-side structural reform, speed up the construction of a new development pattern, and adhere to the strategy of expanding domestic demand. we should do a solid job in the work of "six stability", comprehensively implement the task of "six guarantees", implement monetary policies flexibly and accurately, and strengthen coordination with fiscal, industrial, and regulatory policies. We will co-ordinate finance to support the real economy and prevent risks, keep the economy running within a reasonable range, and promote high-quality economic development.
