PBOC Governor Pan: PBOC provides specific directions for stock buybacks and reloans to increase holdings

People's Bank of China (PBOC) Governor Pan Gongsheng said on Friday that the Chinese central bank “provided specific directions for stock buybacks and reloans to increase holdings, and it is the bottom line that credit funds cannot enter the stock market in violation of regulations.”

Additional quotes

Central bank's provision of stock buyback and additional purchase re-loans has specific directional aims, and a fundamental bottom line is that loan funds must not unlawfully enter the stock market.

The two tools to support the stable development of the capital market are entirely based on market-oriented principles, and swap facility is not direct financial support from central bank.