China's Aggregate Social Financing Up 22.25 Trillion Yuan in First Seven Months of 2026

The People's Bank of China released its financial statistics report for July 2026 on August 14. Preliminary data show that the stock of aggregate social financing stood at 463.27 trillion yuan at the end of July, up 7.4% year on year. Within this total, RMB loans to the real economy rose 5.2% to 278.57 trillion yuan; foreign currency loans to the real economy, converted to RMB, fell 1.7% to 1.19 trillion yuan; entrusted loans increased 0.7% to 11.24 trillion yuan; trust loans rose 3.2% to 4.6 trillion yuan; undiscounted bankers' acceptances grew 2.7% to 1.97 trillion yuan; corporate bonds increased 9.2% to 36.47 trillion yuan; government bonds rose 14.1% to 102.68 trillion yuan; and domestic equity financing by non-financial enterprises grew 5.5% to 12.6 trillion yuan.

By structure, RMB loans to the real economy accounted for 60.1% of the aggregate social financing stock at end-July, 1.3 percentage points lower than a year earlier. Corporate bonds accounted for 7.9%, up 0.2 percentage point; government bonds accounted for 22.2%, up 1.3 percentage points; and domestic equity financing by non-financial enterprises accounted for 2.7%, down 0.1 percentage point.

Preliminary data show that cumulative aggregate social financing in the first seven months of 2026 reached 22.25 trillion yuan, 1.74 trillion yuan less than in the same period of 2025. Within this, RMB loans to the real economy increased by 10.17 trillion yuan, 2.14 trillion yuan less than a year earlier; foreign currency loans to the real economy, converted to RMB, increased by 169.4 billion yuan, 241.9 billion yuan more than a year earlier; entrusted loans decreased by 81 billion yuan, 12.1 billion yuan more than a year earlier; trust loans decreased by 67.2 billion yuan, 226.4 billion yuan more than a year earlier; undiscounted bankers' acceptances decreased by 178.6 billion yuan, 41 billion yuan less than a year earlier; net corporate bond financing was 2.52 trillion yuan, 1.1 trillion yuan more than a year earlier; net government bond financing was 7.76 trillion yuan, 1.15 trillion yuan less than a year earlier; and domestic equity financing by non-financial enterprises was 406.1 billion yuan, 184.7 billion yuan more than a year earlier.

In terms of money supply, broad money (M2) stood at 355.51 trillion yuan at end-July, up 7.7% year on year; narrow money (M1) was 115.46 trillion yuan, up 4%; and currency in circulation (M0) was 14.82 trillion yuan, up 11.6%. In the first seven months, net cash injection totaled 725.5 billion yuan.

On deposits, total domestic and foreign currency deposits stood at 354.49 trillion yuan at end-July, up 8.1% year on year. RMB deposits were 346.47 trillion yuan, up 8.1%. In the first seven months, RMB deposits increased by 17.79 trillion yuan, including household deposits up 6.95 trillion yuan, non-financial corporate deposits up 1.57 trillion yuan, fiscal deposits up 1.95 trillion yuan, and non-banking financial institution deposits up 5.76 trillion yuan. Foreign currency deposits stood at 1.18 trillion US dollars, up 17.9% year on year, with an increase of 121.2 billion US dollars in the first seven months.

On loans, total domestic and foreign currency loans stood at 286.07 trillion yuan at end-July, up 5% year on year. RMB loans were 282.29 trillion yuan, up 5.1%. In the first seven months, RMB loans increased by 10.38 trillion yuan. By sector, household loans decreased by 827.1 billion yuan, with short-term loans down 928.1 billion yuan and medium- and long-term loans up 101 billion yuan; corporate and institutional loans increased by 11 trillion yuan, with short-term loans up 4.34 trillion yuan, medium- and long-term loans up 5.32 trillion yuan, and bill financing up 1.19 trillion yuan; and non-banking financial institution loans decreased by 394.4 billion yuan. Foreign currency loans stood at 556.9 billion US dollars, up 0.2% year on year, with an increase of 11.9 billion US dollars in the first seven months.

On interest rates, the interbank RMB market in July saw total turnover of 192.86 trillion yuan through lending, bond cash trading, and repurchase agreements, with average daily turnover of 8.39 trillion yuan, down 13.3% year on year. Average daily turnover of interbank lending fell 24.3%, bond cash trading fell 6.1%, and pledged repurchase agreements fell 14.5%. In July, the weighted average interbank lending rate was 1.4%, 0.01 percentage point lower than the previous month and 0.05 percentage point lower than in July 2025. The weighted average pledged repurchase rate was 1.42%, 0.01 percentage point lower than the previous month and 0.04 percentage point lower than in July 2025.

On cross-border RMB settlement, the amount settled under the current account in July was 1.75 trillion yuan, comprising 1.32 trillion yuan for goods trade and 0.43 trillion yuan for services trade and other current account items. Direct investment cross-border RMB settlement amounted to 0.63 trillion yuan, with outward direct investment and foreign direct investment at 0.22 trillion yuan and 0.41 trillion yuan, respectively.