It was agreed at the meeting that a combination of monetary and lending policy tools will be implemented to facilitate a greater role by the guarantee system and reduce financing costs for the real economy.

"The central bank needs to take a multi-pronged approach and employ a mixture of tools to ensure meaningful reductions in real interest rates," Li said.

The meeting also decided to enhance lending support for creditworthy enterprises with market potential and ensure that loans will not be discontinued for no good reason. Financing woes of micro and small firms must be effectively addressed.

Evaluation and supervision will be strengthened to guide banks in expanding market, innovating businesses models and delivering better services for the real economy.

"We must earnestly address the financing difficulties of micro and small firms. Otherwise, employment could be affected given the large number of these companies," Li stressed.

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