OREANDA-NEWS. January 14, 2015. The Monetary Policy Committee of the People’s Bank of China held its 4th quarterly meeting a few days ago in Beijing.

The participants analyzed the current economic and financial situation in China and beyond, and were of the view that performance of the Chinese economy is still within a reasonable range. The performance of the financial sector is basically stable, and structural adjustments have produced positive changes. However, complexities of the situation should not be underestimated. The world economy is still in a period of profound readjustment after the global financial crisis. The U.S. economy has shown more positive signs, the euro zone faces deflationary risk, and the real sector in some emerging economies has to address many difficulties. Fluctuations in commodity prices and other factors have a larger impact on the world economy and the international financial markets.

It was emphasized at the meeting that the decisions and resolutions adopted at the 18th CPC National Congress, 3rd Plenum of the 18th CPC Central Committee and Central Economic Work Conference will be earnestly implemented. The PBC will closely monitor the latest developments in the real economy and financial sector at home and abroad and changes in global capital flow, follow the principle of making progress while maintaining stability, reform and innovation, continue to implement the sound monetary policy, pay more attention to maintaining an appropriate monetary condition, use a multiple of monetary policy tools flexibly, keep liquidity at appropriate levels, and realize reasonable growth of money, credit and all-system financing aggregates. The financing and credit structure will be improved and financial sector reform will be deepened to improve efficiency and build stronger capacity to serve the real economy. The market-based interest rate regime reform and RMB exchange rate regime will be furthered to keep RMB exchange rate basically stable at an adaptive and equilibrium level.

Chaired by Zhou Xiaochuan, Chairman of the Committee and Governor of the PBC, the meeting was attended by Zhu Zhixin, Wang Baoan, Hu Xiaolian, Yi Gang, Pan Gongsheng, Shang Fulin, Xiao Gang, Xiang Junbo, Hu Huaibang, Qian Yingyi, Chen Yulu, and Song Guoqing. Xiao Jie and Ma Jiantang were absent on business leave. Senior officials from the PBC’s Shanghai Head Office, Wuhan Branch, and Chongqing Operations Office attended the meeting as observers.