China's central bank is poised to take further action as the credit mechanism faces significant stagnation. According to official data, Chinese banks and other financial institutions have issued fewer loans in the first three months of the year compared to the previous year, signaling a persistently weak demand for credit. The total social financing (TSF), a broader measure of lending that encompasses financing from non-bank sources, amounted to 12.93 trillion yuan from January to March, marking a decline of 1.61 trillion yuan compared to the same period last year, as reported by the People's Bank of China (PBoC).