Pan Gongsheng: Direct Financing Will Exceed Loans by 2025

Pan Gongsheng, the governor of the People's Bank of China, pointed out that the incremental social financing scale will reach 35.6 trillion yuan by 2025, with corporate bonds, government bonds, and stock financing accounting for approximately 47%, surpassing loans for the first time. By the end of June 2026, the proportion of indirect financing balance in the social financing scale will drop to around two-thirds, while the proportion of loan balance will decrease to about 60%, and the proportion of direct financing balance will rise to about one-third. Over the past decade, the proportion of new loans for real estate and infrastructure construction has decreased from 60% to around 10%.