The People’s Bank of China (PBOC) has said it will focus on the “vigour and pace” of China’s structural deleveraging efforts.
In a statement released on 29 September PBOC said that it will maintain a balance between interest rates, exchange rates and China’s balance of payments, as part of efforts to “expedite stable and healthy development of the economy and stabilise market expectations.”
The third quarter meeting of PBOC’s monetary policy committee convened on 26 September stressed the need to deepen supply-side structural reforms, optimise finance and credit structures, and endeavour to ensure that China’s financial sector supports private enterprise and lifts its ability to service the real economy.
According to the committee China’s economy is maintaining stable growth, and economic growth is still “resilient” with overall balance between demand and supply.
“Stable and neutral monetary policy has achieved strong success, and macro-leverage ratios are trending towards stability,” said the committee.
The committee also said that it would focus on counter-cyclical adjustments and maintain rationally ample liquidity to guide rational growth in monetary credit and total social financing.