Central Banks control the narrowest measure of the money supply, called the monetary base-typically, currency plus the reserves that commercial Banks hold with the central bank.

M2 and M1 are expected to grow by 14-15% and 15-17% respectively, and the loans of financial institutions to increase by 1 trillion yuan.

On the other hand, the low level of short-term interest rates has tended to stimulate monetary expansion, reflected particularly in the increase in the narrow aggregate M1.