The current economic background
From the second quarter 2018 to the second quarter 2019, China’s economy grew 6.2%, compared to 6.4% year-on-year growth in the first quarter of 2019. The second quarter economic growth rate was the country’s slowest pace since the first quarter of 1992 when quarterly GDP measurement started. The Chinese economy faces a complex situation with increasing external uncertainties, particularly, China’s ongoing trade dispute with the U.S. was main factor of downward pressures. So far, the PBoC has only carefully supported the economy through mildly expansionary policy. Assuming that the global economic climate does not improve, this might change over the course of the current year.