This study selected A-share listed companies in Shanghai and Shenzhen from 2013 to 2023 to empirically examine the relationship between annual report and corporate capital costs, and to explore the moderating effect of monetary policy uncertainty on this relationship. The results show that the lower the annual report readability is, the higher the corporate capital costs will be, and the higher the monetary policy uncertainty, the greater the negative impact of annual report readability on corporate capital costs. Moreover, in samples of non-high-tech industries, non-state-owned enterprises, and firms with lower external audit quality, the negative impact of annual report readability on corporate capital costs is more pronounced. Accordingly, companies should improve the readability of their annual reports and enhance their environmental adaptability. Regulatory authorities should improve disclosure standards and strengthen the supervisory responsibilities of intermediaries.