# cross‑border RMB

China's Money Supply Rises as Deposits Flood In but Credit Growth Remains Modest

The People's Bank of China reported 9% year‑on‑year M2 growth at end‑February and Rmb9.26 trillion of new yuan deposits in the first two months of 2026, while net new RMB loans rose Rmb5.61 trillion. Abundant liquidity has lowered short‑term market rates, but the structure of financing—larger government bond share and modest private credit uptake—highlights uneven demand for credit and active fiscal financing.