MNI POLICY: China to Pursue Active Fiscal Policies: Premier Li

By Iris Ouyang

     BEIJING (MNI) - Chinese Premier Li Keqiang said on Tuesday the country will

continue to purse active fiscal policies to deal with downward pressure on the

economy. 

     China also has sufficient foreign currency reserves to maintain stability

of the yuan and won't seek competitive devaluation, Li told reporters in Beijing

along with heads of international bodies including the IMF and the World Bank.

     China will more effectively help private companies obtain financing made

difficult by its monetary policies, Premier Li said. It won't rely on "credit

flooding" and exports to deal with the economic downturn, Li said. 

     The world economy may face further downturn as rising protectionism hurts

investors' confidence, urging for greater cooperation and the upholding of

multilateralism, Premier Li said.

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

--MNI Beijing Bureau; +86 (10) 8532-5998; email: iris.ouyang@marketnews.com

[TOPICS: M$A$$$,M$Q$$$,MC$$$$,MI$$$$,MGQ$$$]