China’s Central Bank Policy to Be More Flexible and Targeted: Chief Says

Pedestrians wearing protective masks walk past the People’s Bank of China building in Beijing on March 17. Photo: Bloomberg

(Bloomberg) — Chinese monetary policy will be more flexible, appropriate and targeted, People’s Bank of China Governor Yi Gang said in an interview with the Xinhua News Agency.

Credit growth should be notably higher than the pace last year, Yi said. The central bank should control the rate of growth while encouraging reasonable credit expansion to smaller firms and manufacturers, and also improve the structure of loans.

The comments by Yi are similar to what the central bank said last week in its quarterly policy report.

“No matter how international situation changes, the most important thing is that we take care of our own affairs and firmly deepen financial reforms and opening up,” Yi said in the interview. “Firstly, we’ll continue to implement the phase-one trade deal with the U.S.”

China will provide some debt relief to poorer and developing nations, Yi said.

Contact editor Yang Ge (geyang@caixin.com)

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