China to implement appropriate monetary policy, more forceful fiscal policies
CHINA should be flexible in implementing appropriate monetary policy and maintain reasonably ample liquidity, China’s central bank governor Zhou Xiaochuan said at a meeting in Washington over the weekend.
Zhou also called for all sides to take forceful measures to promote global recovery, including refraining from the use of various forms of trade and investment protectionism.
China’s economy is off to a good start in 2016, with economic indicators seeing an obvious pick up and the growth of the services sector outpacing that of the manufacturing industry, Zhou said in remarks delivered at a meeting of the International Monetary and Financial Committee (IMFC).
He added that China should vigorously push forward supply side structural reform, as well as better balance the areas of economic growth, structural adjustment and risk prevention.
At a separate Group of 20 (G20) meeting in Washington last week, Zhou said that China’s foreign exchange market has stabilized, the yuan’s recent trend reflects market supply and demand, and it has held steady against a basket of currencies.
Zhou also called for all sides to take forceful measures to promote global recovery, including refraining from various forms of trade and investment protectionism.
He called for the expanded use of the International Monetary Fund’s (IMF) Special Drawing Rights (SDR) to resolve flaws in the international currency system and said China is actively studying plans to issue SDR-denominated bonds. — Reuters