"One-time Credit Repair Policy" deadline; Bank stocks fluctuate higher | Financial Morning Brief

|April 1, 2026, Wednesday|

**NO.1 **Central Bank: Suggests leveraging the integrated effects of incremental policies and stock (existing) policies to strengthen monetary policy regulation and control

The first quarterly meeting of 2026 of the Monetary Policy Committee of the People’s Bank of China was held on March 26. The meeting studied the main ideas for the monetary policy for the next phase, and suggested that efforts should be made to leverage the integrated effects of incremental policies and stock (existing) policies, comprehensively use a variety of tools, and strengthen monetary policy regulation and control. Based on domestic and international economic and financial conditions and the operation of financial markets, the appropriate intensity, timing, and tempo of policy implementation should be grasped.

**NO.2 **Measures for Exchanging Renminbi Banknotes that are Damaged or Soiled Take Effect Starting March 31

On March 31, the People’s Bank of China issued and officially put into effect the “Measures of the People’s Bank of China for the Exchange of Renminbi Banknotes that are Damaged or Soiled.” The measures for the first time systematically clarify the identification standards for damaged and soiled Renminbi banknotes, clearly define the boundary between exchangeable and non-exchangeable cases, and further refine the circumstances under which exchanges can be made. Exchange business is handled free of charge by financial institutions designated by branches of the People’s Bank of China.

Commentary: By clearly defining the standards and exchange boundaries, disputes between banks and the public are reduced, and the fairness and predictability of cash services are improved. It also reflects protection for the public’s property rights and interests. With digital payments widely adopted today, improving basic cash service helps maintain the legal status of the Renminbi and safeguard the lawful rights and interests of various groups—especially the elderly and cash users.

**NO.3 **“One-time Credit Restoration Policy” ends on March 31

According to CCTV News, to address the “credit predicament” of the public, support individuals whose credit has been damaged but who actively repay, and help people rebuild their credit while supporting the economy to continue rebounding and improving, the People’s Bank of China issued the “One-time Credit Restoration Policy” in December 2025. On March 31, this policy ended. Earlier, multiple banks had released dense reminders, urging borrowers to make repayments in time.

Commentary: The one-time credit restoration policy has positive significance for alleviating individual debt pressure and restoring residents’ balance sheets. For individuals, credit is still an important foundation for future financing and life services; rational borrowing and repaying on time will become the long-term main storyline again.

NO.4** Bank stocks rise in choppy trading. Agricultural Bank of China and Bank of China gain more than 3%**

On March 31, bank stocks rose in choppy trading. As of the time of publication, Agricultural Bank of China and Bank of China were up more than 3%; China Construction Bank, Postal Savings Bank of China, Industrial and Commercial Bank of China, and others were up by about 1%.

Commentary: The overall upward movement of the banking sector helps boost market sentiment and highlights the role of the financial sector as the stabilizing “keel” for the market. For subsequent sustainability of the sector, attention should still be paid to whether net interest margins stabilize, improvements in asset quality, and the effectiveness of policy implementation.

**NO.5 **Yunfeng Financial: Conditional approval obtained for Bermuda insurance license

In its announcement to the Hong Kong Stock Exchange, Yunfeng Financial said that it has recently received a conditional approval from the Bermuda Monetary Authority, which agrees that its wholly owned subsidiary it proposes to establish will be registered as a Bermuda Class E insurance company. Class E insurance companies are permitted, in accordance with the relevant rules of the BMA (Bermuda Monetary Authority), to engage in long-term insurance business, including life, annuities, accidental and disability risk, and so on.

Commentary: Securing a Bermuda insurance license is an important step in Yunfeng Financial’s global expansion and the expansion of its integrated financial business map. It will help the company carry out cross-border long-term insurance, annuities, and other businesses, serving high-net-worth customers and meeting global asset allocation needs.

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