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PBOC Seen Shifting Focus to Stabilizing Leverage: Herald

CHINA PRESS
MNI (Sydney)

The PBOC is likely to shift the focus of monetary policy towards containing macro leverage ratios this year in a departure from last year's priority of reducing business financing costs, according to an article in the 21st Century Business Herald. The government may align M2 and social financing growth with nominal GDP, the newspaper said citing Shao Yu, chief economist of Orient Securities. The central bank may keep policy rates or reserve ratios unchanged unless growth deviates from the targeted range, and adjust liquidity mainly by open market operations, Shao said.

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

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