The People's Bank of China (PBOC) has announced plans to implement an appropriately loose monetary policy to support economic growth amid rising external challenges and domestic demand constraints. In its fourth-quarter 2024 monetary policy report, the central bank emphasized maintaining ample liquidity through flexible tools such as interest rate adjustments and reserve requirement ratio (RRR) cuts. It aims to promote a reasonable rebound in prices, stabilize the yuan exchange rate at a balanced level, stabilize market expectations, and enhance the resilience of the foreign exchange market. The PBOC also plans to optimize policy strength and timing while strengthening foreign exchange market management. Additionally, it highlighted its commitment to deepening financial reforms, advancing high-level financial market opening, and accelerating the internationalization of the yuan. These measures are part of broader efforts to counter deflationary pressures and sustain steady economic growth in 2025. The bank reiterated its readiness to adjust the intensity and timing of policies based on domestic and international economic conditions.