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MNI BRIEF: PBOC to Continue Prudent Monetary Policy

MNI (Sydney)

China will continue with a prudent monetary policy, adjust it flexibly and precisely, and avoid sharp changes to ensure a balance between economic recovery and risk prevention, the People's Bank of China said in its Q4 Monetary Policy Report released on its website late Monday.

The PBOC will comprehensively use medium-term lending facilities, open market operations, re-lending, rediscounting and other tools to meet the reasonable short-term, mid-term and long-term liquidity needs, according to the report. The operations must be accurate and effective to maintain sufficient liquidity without flooding the market, according to the PBOC.

The PBOC will improve the money supply control mechanism with the goal of "maintaining the stability of the currency value and promoting economic growth," the statement said.

MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
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MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
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