To implement the decisions and arrangements made by the Communist Party of China Central Committee and the State Council, improve the long-term mechanism for expanding consumption, and better meet the financial service needs in the consumption sector, recently, the People’s Bank of China (PBOC), together with the National Development and Reform Commission, the Ministry of Finance, the Ministry of Commerce, the National Financial Regulatory Administration, and the China Securities Regulatory Commission, jointly issued the Guidelines on Reinforcing Financial Support for Boosting and Expanding Consumption (hereinafter referred to as the Guidelines).
Under the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, the Guidelines will deeply implement the political and people-oriented nature of financial work, and guide financial institutions to strengthen financial services on both the supply and demand sides of consumption, so as to meet the diverse financing needs of various entities, promote the expansion of high-quality consumption supply, and help unlock the potential for consumption growth. The Guidelines set out 19 key measures across six areas: supporting the enhancement of consumption capacity, expanding financial supply in the consumption sector, tapping into and unleashing household consumption potential, promoting more effective consumption supply, as well as improving the consumption environment and strengthening policy support.
The Guidelines pointed out that it is necessary to consolidate the macroeconomic and financial foundation, support employment and income growth for residents, improve insurance coverage, and actively foster consumer demand. It is also required to strengthen the incentives of structural monetary policy tools, increase credit support for key areas of service consumption, and develop diversified financing channels such as bonds and equity.
The Guidelines emphasized the need to enhance financial support for key areas of consumption, innovate financial products tailored to consumption scenarios and characteristics, and continuously improve the quality and efficiency of financial services in the consumption sector. Efforts should also be made to optimize payment services for consumption, improve the credit system in the consumption sector, and strengthen the protection of consumer rights and interests in financial services.
Moving forward, the PBOC will work with relevant departments to accelerate the implementation of various policies outlined in the Guidelines, strengthen tracking and monitoring, and guide financial institutions to further increase financial support for the consumption sector, thereby providing strong financial backing for better exerting the fundamental role of consumption in driving economic development.
Annex:
Guidelines on Reinforcing Financial Support for Boosting and Expanding Consumption Issued by the PBOC, NDRC, MOF, MOFCOM, NFRA, and CSRC
To thoroughly implement the decisions and arrangements made by the Communist Party of China (CPC) Central Committee and the State Council, vigorously boost consumption, improve the long-term mechanism for expanding consumption, strengthen the financial supply for goods and services consumption, and better meet the financial service demands in the consumption sector, the following opinions are hereby proposed.
I. General Requirements
Supporting the revitalization and expansion of consumption is a key component for the financial sector to serve the real economy. It is also a concrete manifestation of the political and people-oriented nature of financial work. Under the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, financial institutions should thoroughly implement the guidelines of the 20th CPC National Congress, the second and third plenary sessions of the 20th CPC Central Committee and the Central Economic Work Conference, and apply the new development philosophy fully, faithfully, and comprehensively. Efforts should be made to continuously improve the financial service system, enhance financial service capabilities, and increase financial support for key areas and links of consumption, thereby providing strong financial backing for better exerting the fundamental role of consumption in driving economic development.
—Adhere to the combination of optimizing supply and expanding demand. It is required to promote synergy between the strategy of expanding domestic demand and deepening financial supply-side structural reform, increase the input of financial resources for consumption supply, and improve the level of financial services for consumer demand, thus facilitating a virtuous cycle of production, distribution, circulation, and consumption.
—Adhere to the integration of financial innovation, market principles and the rule of law. Financial institutions are encouraged to optimize the allocation of financial resources, strengthen innovation in financial products and services, and provide diverse and differentiated financial services for the consumption sector in compliance with laws and regulations and under controllable risks, thus meeting rational consumer financing needs in a targeted manner.
—Adhere to the coordination of online services and offline support. Based on mobile platforms and technologies such as the Internet and big data, efforts should be made to continuously enhance the integration of financial services and consumption scenarios by broadening online financial channels for supporting consumption, strengthening offline financial services, and providing convenient and efficient financial support for consumption.
II. Supporting the enhancement of Consumption Capacity and Fostering Consumer Demand
(1) The financial sector will strengthen the macroeconomic foundation to stabilize consumption expectations. It will increase support for the real economy and strengthen coordination among financial, fiscal, and industrial policies. It will implement sound monetary policy, strengthen counter-cyclical and inter-temporal adjustments, and use a mix of monetary policy tools, including the required reserve ratio, central bank lending and discounts, and open market operations, thus keeping liquidity adequate and continuously reducing the overall financing costs for the real economy. It will implement a proactive fiscal policy to better leverage the role of consumption in promoting smooth circulation of the national economy and driving economic growth. It will also improve the capital market’s function in coordinating investment and financing, promote the entry of medium and long-term funds into the market, and enhance the stable development of the capital market.
(2) The financial sector will support employment and income growth for residents to boost their consumer confidence. It will strengthen financial services for private enterprises, micro and small businesses, self-employed individuals and other business entities with strong capacity for driving job creation. It will thoroughly implement the policy on entrepreneurship guaranteed loans, and encourage appropriate relaxation of application requirements and simplification of approval procedures to facilitate entrepreneurship and income growth for eligible individuals and enterprises. Also, it will accelerate the market-oriented allocation of factors such as labor, capital, knowledge, and technology, and further improve financing service mechanisms to increase the disposable income of households. The financial sector will innovate financial products tailored to family wealth management, regulate household investment and wealth management activities, and increase property income for residents.
(3) The financial sector will support the optimization of security systems to raise consumer willingness. Financial institutions will be encouraged to develop personal pension products tailored to participants’ retirement needs with a long duration and reasonable returns, thereby promoting the accumulation and steady growth of pension wealth. The financial sector will accelerate the innovation in commercial insurance annuity products, expand the coverage of commercial health insurance, and improve service quality and security. It will develop commercial long-term care insurance, and step up commercial health insurance support for innovative drugs to meet diversified and personalized needs for health security. It will also support the development of travel insurance for the elderly and encourage the expansion of travel insurance coverage.
III. Enhancing the Professional Service Capacity of Financial Institutions and Expanding Financial Supply in the Consumption Sector
(4) The financial sector will leverage the primary role of credit support. It will encourage financial institutions to establish sound internal organizational structures and professional teams to provide targeted, efficient, and convenient financial services for the consumption sector. On the premise that risks are controllable, the financial sector will innovate and optimize credit products and scale up support for first-time loans, renewed loans, unsecured loans, and medium and long-term loans for qualified business entities in the consumption sector, so as to meet the diversified financial needs in this regard. It will encourage the use of credit enhancement measures for government-backed financing guarantees to support greater loan issuance in the consumption sector. It will promote the integration of technologies such as the Internet and big data with consumer finance, and optimize the application, approval and disbursement procedures for online consumer credit products to improve the convenience of consumer financing. It will support financial institutions in enhancing risk management capabilities, adopt independent and rational pricing that covers operating costs and ensures commercial sustainability, expand the support coverage of customers appropriately, improve the quality and quantity of consumer loans, and enhance the sustainability of financial services.
(5) The financial sector will strengthen the incentives of structural monetary policy tools. It will encourage and guide financial institutions to issue loans to various entities in key areas of service consumption such as wholesale and retail, accommodation and catering, cultural, sports and entertainment, tourism, education, and residential services, so as to support them in improving the quality and efficiency of service consumption supply. The PBOC will establish a central bank lending facility for service consumption and elderly care with a total quota of RMB500 billion. Loans issued by 21 national financial institutions and 5 systemically important urban commercial banks for key areas of service consumption are eligible for applying for the central bank lending equivalent to 100 percent of the loan principal. It will fully utilize the existing central bank lending facilities to support rural development and micro and small businesses (MSBs), and provide corresponding support for loans issued by other locally incorporated banks to agriculture-related sectors and MSBs in key areas of service consumption.
(6) The financial sector will increase support for bond market financing. It will support qualified enterprises in cultural, tourism, education, and other service consumption sectors in issuing bonds. It will encourage eligible sci-tech enterprises to raise funds via the bond market, thereby promoting quality upgrades in smart elderly care, intelligent healthcare, and other consumer products. Also, it will support eligible consumer finance companies, auto finance companies, and financial leasing companies in issuing financial bonds to broaden funding sources and expand the scale of consumer credit. It will promote the expansion of asset securitization for retail loans such as auto loans, consumer loans, and credit card loans, so as to revitalize existing credit assets and enhance the supply capacity of consumer credit.
(7) The financial sector will actively develop equity financing. It will support eligible high-quality enterprises along the consumer industry chain—including production, distribution, and retail—in raising funds through initial public offerings, listings on the National Equities Exchange and Quotations, and other channels. It will guide private capital to increase investment in key service consumption sectors to meet the long-term financing needs of consumer industries through “long-term capital” and “patient capital”. It will actively leverage the role of private equity and venture capital funds to increase equity investment in enterprises at the seed and start-up stages. In addition, it will encourage qualified localities to use government investment funds to support key consumption projects such as health care and cultural tourism and new consumption sectors such as digital and green consumption via market-oriented approaches. Efforts will also be made to encourage the issuance of consumer-focused ETFs and other specialized investment products.
(8) The financial sector will expand diversified financing channels for consumption. It will guide consumer finance companies to enhance their capabilities in independent customer acquisition and risk control, and to set comprehensive loan interest rates at reasonable levels. It will encourage auto finance companies to leverage their specialized functions to diversify consumer credit products for vehicle purchases and provide strong credit support to auto dealers. Also, it will regulate the business development of microloan companies, with a focus on serving MSBs, self-employed individuals, and rural households to boost the production and consumption of goods and services. It will encourage commercial banks, consumer finance companies, auto finance companies, and microloan companies to cooperate with each other and leverage their respective strengths while ensuring regulatory compliance, to jointly develop financial products tailored to various consumption scenarios.
IV. Increasing Financial Support for Key Areas of Consumption to Help Unlock Consumption Potential
(9) The financial sector will work to boost goods consumption. Financial institutions will be encouraged to provide financial services for consumer goods trade-in programs through multiple channels and in various forms. Greater credit support will be extended to enterprises engaged in the recycling and dismantling of scrapped vehicles, the recycling and trade-in of used household appliances, home renovation and kitchen/bathroom upgrades, and the supply of daily necessities. The financial sector will actively promote auto loan services, with loan disbursement ratios, terms, and interest rates reasonably determined based on the borrower’s credit profile and repayment ability. Penalties for early repayment of existing auto loans in trade-in transactions will be appropriately reduced or waived. Financial support for the production and consumption of green and smart home appliances and furnishings will be strengthened by streamlining approval procedures and improving service quality and efficiency. Financial assistance for foreign trade enterprises in expanding domestic sales will also be enhanced, with improved domestic trade insurance services and broader access to high-quality imported goods for domestic consumption.
(10) The financial sector will support the development of service consumption. While promoting consumption and improving people’s livelihoods, the financial sector will increase credit support for key areas of service consumption. Personalized and differentiated financial products and services will be offered based on the specific scenarios and characteristics of service consumption. Credit supply will be increased for sectors such as wholesale and retail, catering and accommodation, domestic services, elderly care, and childcare, with a particular focus on enriching credit-based financial products suitable for MSBs, supporting industrial upgrading and business format integration among business entities, and helping to unlock the potential of basic service consumption. The financial sector will explore innovative financing models in areas such as cultural tourism, sports, entertainment, education and training, and residential services. In compliance with laws and regulations and on the premise that risks are controllable, loan terms will be appropriately extended in line with industry development cycles. Efforts will also be made to actively promote pledge financing with accounts receivable and intellectual property as collateral, thereby stimulating the vitality of upgrade-oriented service consumption.
(11) The financial sector will help foster new types of consumption. It will explore effective financial channels and approaches to support new types of consumption, such as digital, green, and health-related consumption. Financial innovation will be enhanced to support the development of new consumption patterns such as experiential consumption, smart consumption, and customized consumption. Financial institutions will be encouraged to collaborate with merchants to develop financial products and services tailored to the characteristics of new consumption, and actively participate in the consumption promotion activities initiated by merchants, aiming to offer appropriate fee reductions and benefits to consumers. Financial institutions will also be guided to cooperate with social e-commerce and live-streaming e-commerce platforms in accordance with laws and regulations. Internal management mechanisms that align with the characteristics of Internet-based lending will be improved. Based on clear accountability and controllable risks, credit limits, loan terms, and interest rates will be reasonably determined to actively meet the financing needs of merchants and consumers.
V. Strengthening Financial Support for Consumption Infrastructure and Circulation Systems to Promote More Effective Consumption Supply
(12) The financial sector will support the construction of consumption infrastructure. Focusing on key areas such as cultural and tourism facilities, sports and performance venues, medical and elderly care facilities, communication base stations, charging equipment, and aging-friendly renovations, it will explore innovative financial products and financing models tailored to the characteristics of funding needs. Financial institutions will be encouraged to proactively engage in major projects and key initiatives in the consumption sector, optimize financial products and services, and improve loan approval conditions based on borrowers’ creditworthiness, repayment capacity, and project investment return cycles. They will set the loan term reasonably and ramp up loan issuance. Moreover, the financial sector will support the development of international consumption center cities as well as the cultivation of new consumption formats, models, and scenarios, providing financial services covering the whole chain and full cycle for projects such as the renovation and upgrading of pedestrian streets (commercial districts) and commercial facilities, and the construction of community convenience service facilities and county-level commercial systems. It will also support eligible consumption infrastructure in issuing infrastructure real estate investment trusts.
(13) The financial sector will support the development of the commercial and trade circulation system. Financial institutions will be encouraged to increase credit support for commercial and trade circulation projects such as transportation, logistics, warehousing, and supply chains, to support the renovation and upgrading of core market facilities, cold chain logistics bases, township trade centers, shopping malls and supermarkets, and open-air markets, and to accelerate the development of digital commodity circulation, thereby reducing overall logistics and terminal consumption costs. The financial sector will explore the development of exclusive loan products tailored to rural e-commerce to unblock its fuding chain. Financial services for shipping enterprises will be improved by increasing credit supply for maritime and inland waterway transport, and by supporting the construction of international maritime and inland waterway logistics networks. Information sharing and technological empowerment will be deepened to provide comprehensive services, such as fund settlement and financial management, for commercial, logistics, and supply and marketing enterprises in line with commercial application scenarios.
VI. Enhancing Basic Financial Services to Help Optimize the Consumption Environment
(14) The financial sector will continuously optimize payment services. Focusing on key consumption scenarios such as catering, accommodation, transport, sightseeing, shopping, entertainment, and medical care, it will support financial institutions in continuously enhancing payment convenience. Efforts will be made to improve the interoperability of various payment methods—including cash, bank cards, mobile payments, and e-CNY—to deliver a more efficient and user-friendly payment experience for consumers. Efforts will also be made to continuously improve elderly-friendly payment services, optimize the acceptance environment for foreign card networks in key sectors, and deepen the integration of credit card payments with various consumption scenarios to better meet the payment needs of the elderly, overseas visitors and other groups. Pilot regions will be encouraged to promote the use of e-CNY in the consumption sector in a proactive and orderly manner.
(15) The financial sector will improve the credit system in the consumption sector. It will strengthen the collection and sharing of credit information in the consumption sector by leveraging the National Credit Information Sharing Platform. It will support credit reporting agencies in deepening the sharing and application of credit information in the consumption sector in accordance with laws and regulations to accurately assess the creditworthiness of various merchants and consumers. Efforts will be made to develop specialized credit products and services that meet the financial service needs in the consumption sector, thus promoting the issuance of credit loans through credit system development. The development of credit systems within industry associations and chambers of commerce will also be encouraged. A “Credit Promotion Month for Honest Business Practices” campaign will be launched to foster a business environment built on integrity and the rule of law.
(16) The financial sector will strengthen the protection of the rights and interests of consumers in financial services. It will establish and improve the mechanism for protecting the rights and interests of financial consumers, embedding consumer rights protection throughout all stages and aspects of financial operations. It will also strengthen information disclosure regarding financial products and services, and regulate product marketing, promotion, and sales practices. The financial sector will strengthen data security and personal information protection, enhance the management of cooperative institutions, and strictly regulate practices related to delinquent debt collection. It will improve mechanisms for resolving financial consumption disputes and establish efficient channels for business inquiries and complaint handling. Efforts will also be made to enhance financial consumer education, promote a healthy consumption culture and habits, encourage responsible borrowing and rational consumption, and help consumers consciously guard against and resist illegal financial activities such as illicit fundraising and telecom fraud.
VII. Strengthening Organizational Guarantee
(17) The financial sector will strengthen overall planning and coordination. Local financial regulatory authorities should enhance communication and coordination with local departments of development and reform, finance, commerce, and other consumption-related industry regulators, give full play to the synergy between financial, fiscal, and industrial policies, and establish a region-specific cooperation mechanism that connects the government, financial institutions, and enterprises, thereby effectively supporting efforts to boost and expand consumption. Financial institutions should coordinate internal resources, strengthen collaboration between corporate and retail departments, and promptly formulate detailed implementation rules on financial support for consumption tailored to their respective banks.
(18) The financial sector will improve statistical monitoring and performance evaluation. It will explore ways to refine the statistical definition for loans in consumption-related sectors, enhance information sharing among departments, and enhance the precision and effectiveness of financial support for consumption. Local financial regulators should strengthen the monitoring and analysis of financing in the consumption sector, and supervise financial institutions in continuously improving their financing management and services. Local authorities will be encouraged to explore policy effectiveness evaluations of financial support for consumption based on local realities and to make better use of the results, thereby promoting greater credit resource allocation by financial institutions.
(19) The financial sector will strengthen publicity and information reporting. It will promote financial policies and products that support consumption by enriching the forms and expanding the scope of publicity, ensuring that more enterprises and individuals have timely access to financial information and services related to consumption. Provincial branches of the PBOC should regularly report on the progress, existing problems, and policy recommendations related to financial support for consumption. Financial institutions should conduct thorough review of relevant work experience, typical cases, and suggestions, and then promptly report them to financial regulators.
The People’s Bank of China
National Development and Reform Commission
Ministry of Finance
Ministry of Commerce
National Financial Regulatory Administration
China Securities Regulatory Commission
June 19, 2025
