Aug 26 (Reuters) - London copper prices rose to a two-week high on Friday and were poised for a weekly gain, on heightened hopes that fresh stimulus measures by top metals consumer China would boost demand amid declining inventories.

Three-month copper on the London Metal Exchange was up 0.7% at $8,185.50 a tonne, as of 0704 GMT, after hitting its highest since Aug. 12 at $8,198 earlier in the session. It has gained 1.3% this week.

The most-traded September copper contract on the Shanghai Futures Exchange ended daytime trading up 1.7% at 63,690 yuan ($9,278.85) after hitting its highest since June 30 earlier in the day.

Copper prices rebounded 17% since touching 20-month lows on July 15, but are still down 25% from a record peak scaled in March.

"The new stimulus policies announced by China and the new infrastructure projects that will be coming into market is expected to boost the demand," said He Tianyu, a copper demand analyst at CRU Group.

"Also, a major factor is the relatively tight supply in the market and very low inventory."

China will add 19 new policies on top of the existing steps unveiled in May, including raising the quota on policy financing tools by 300 billion yuan ($43.69 billion), to support its COVID-hit economy.

Recent economic data from the United States and Germany also lifted prospects for better demand outlook for the metals.

Stocks of copper in LME-registered warehouses fell 1,150 tonnes to their lowest level since June 24 to 122,125 tonnes.

Peru, the world's No. 2 copper producer, expects the price of the red metal to fall to $3.40 per pound in 2023 from an average of $3.90 this year. It plans for higher production to offset the fall in tax revenue.

Meanwhile, Chinese copper giant Maike Metals International Ltd seeks help from the government and financial institutions after liquidity issues forced company to delay some payments for imported copper, Bloomberg News reported.

LME aluminium was up 0.1% at $2,436 a tonne, zinc added 0.9% to $3,578.50, lead eased 0.4% to $1,969, nickel rose 0.5% to $21,790, and tin fell 0.5% to $24,190.

Shanghai aluminium fell 0.4%, zinc rose 1.4%, nickel gained 1.7%, lead was down 0.7%, and tin fell 0.6%.

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($1 = 6.8640 Chinese yuan) (Reporting by Brijesh Patel in Bengaluru; Editing by Subhranshu Sahu, Rashmi Aich and Sherry Jacob-Phillips)