People's Bank of China

  • 2019-05-27 04:21


    BEIJING (MNI) - The People's Bank of China (PBOC), China's central bank, said on Sunday it will use open market operations and other tools to ensure "reasonable and ample liquidity" to deal with any potential impact after taking over a failing small domestic lender.

    Authorities seized the Inner Mongolia-based Baoshang Bank after learning it posed serious credit risks, and the China Construction Bank (CCB) is entrusted to manage its business operations, the central bank said.

    The takeover by the top regulators ensures that the Baoshang Bank maintains a national-level credit standing, the PBOC said.

    Personal savings as well as corporate deposits and interbank liabilities below CNY50 million held by Baoshang Bank will be covered by the PBOC, the China Banking and Insur

  • 2019-05-20 01:05


    BEIJING (MNI) - China's central bank is confident and capable of maintaining the stability of the yuan exchange rate at a balanced level, according to Pan Gongsheng, vice governor of the People's Bank of China.

    In a statement on the PBOC website posted late on Sunday, Pan said that foreign capital inflows have increased and forex reserves have risen steadily since the beginning of this year.

    Pan, who is also the director of the State Administration of Foreign Exchange told the PBOC-run newspaper Financial News that healthy macroeconomic fundamentals, rapid credit growth and moderate monetary and financial conditions would provide strong support for the forex market and the yuan.

    He said the PBOC would carry out the necessary counter-cyclical adjustments and strength

  • 2019-05-10 11:04


    BEIJING (MNI) - The People's Bank of China (PBOC) has ample tools to deal with external and domestic uncertainties and will continue with structural measures to support private small businesses and stabilize economy, officials told reporters during a briefing Friday after Washington imposed higher tariff against Chinese exports. Here are some of the main takeaways:

    - The trade conflict with the U.S. has weighed on sentiment more than the real economy, and China has confidence that its economy will be stabilized, as supported by major indicators, including Q1 GDP, inflation and money supply, said Zhou Xuedong, spokesman and director of the general executive office of the PBOC.

  • 2019-04-25 03:18


    BEIJING (MNI) - China's economy saw a "good recovery" in the first quarter, so policymakers should "wait and see" before further cutting the reserve requirement ratios for banks and further loosening liquidity, Li Daokui, a former member of the People's Bank of China monetary policy committee, told reporters Thursday.

    "The economy has basically stabilized," Li said on the sidelines of the Belt and Road forum in Beijing. There needs to be continued policy dialogues first, said Li without elaborating.

  • 2019-03-29 06:40


    HAINAN(MNI) - China and the U.S. could reach a final agreement on settling their trade dispute by the end of June, Hu Xiaolian, a former deputy governor of the PBOC and now chairwoman of the Export-Import Bank of China, said at the Boao Forum in southern Hainan province. Here are major points made by Chinese delegates at the forum on Friday:

    --Any U.S.-China trade deal will only be a starting point to work on deeper dividing issues, Hu said.

  • 2019-03-15 03:33


    BEIJING (MNI) - The People's Bank of China should consider raising the deposit reserve rate to help banks lower lending costs to companies, Dai Xianglong, the former central bank governor said.

    "The interest rate the PBOC pays for the deposit reserves that banks are required to set aside has been set at 1.62% for a long term, and the authorities should raise it to a level not lower than the average deposit rate," Dai told in a forum held by China Finance 40 Forum, a prominent Chinese think tank.

    Dai, also warned China must be alert to systemic risk as the financial markets open up, including a plunge in the stock market, increases in defaults and a sharp yuan depreciation, adding that the authorities must do their best to avoid them.

    Dai noted China has made efforts

  • 2019-03-07 08:03


    --China's Finance Ministry Should Replenish Banks' Capital
    --Stronger China Economy to Bolster Yuan Confidence

    BEIJING (MNI) - China should not rush to cut its benchmark interest rates, as any move by the central bank will have a major impact and there is time to take stock of the economy's overall standing, the president of a local branch of the People's Bank of China told MNI in an exclusive interview.

    China's Prime Minister Li Keqiang said out this week that both quantitative and pricing tools could be used to lower real rates, but that didn't necessarily mean the central bank would "cut rates in short-term," said Guo Xinming, president of the PBOC Nanjing branch.

    After several reserve ratio reductions since January 2018, monetary policy measures have hit their expecte

  • 2019-03-05 06:14


    BEIJING (MNI) - Leverage ratios of state-owned companies and local governments should be reduced further and increased paring back of debt levels is not incompatible with economic stability, People's Bank of China Deputy Governor Chen Yulu said Tuesday.

    Although the aims of deleveraging have basically been achieved, further cuts were needed to reduce leverage ratios further, said Chen, who is also deputy head of the economic committee of Chinese People's Political Consultative Conference

    "Structural deleveraging and stabilizing economic growth have many aspects that allow them to coordinate, they are not against each other," Chen told a press conference in Beijing.

    Pushing deleveraging through requires a stable macro and fiscal back drop, with counter-cyclical adjus

  • 2019-03-05 05:47


    BEIJING (MNI) - China made its economic goals more flexible to account for growing uncertainties affecting the economy, an official involved in drafting the government report told reporters on Tuesday.

    Here are the main points from a press conference by Huang Shouhong, the director of the State Council's policy research office, commenting on Premier Li Keqiang's work paper:

    --On the growth target lowered to 6.0%-6.5% from last year's 6.5%, Huang said the situation is more complicated this year with greater headwinds, so lowering the target fits the reality. The economy will likely be volatility, so the goals must be more flexible. The target China has set fits potential and can ensure employment.

  • 2019-03-04 21:38


    BEIJING (MNI) - China can assure U.S. negotiators it will keep its currency stable, though it is unlikely to promise outright on the value of the yuan, said Li Daokui, a former member of the Monetary Policy Committee of the People's Bank of China, said on the sideline of the National People's Congress.

    "Such demand by the U.S. is consistent with China's need," Li said.

    Regardless the outcome of trade negotiations, the Chinese economy in the long term will continue to grow steadily, Li repeated his view.

    China's domestic monetary policy will likely be "loose and orderly" and geared towards helping medium and small businesses transform, Li said.