Central Bank: Monetary policy will continue to work hard to support the economic recovery

China New Finance, June 27. According to the report of the central bank website on June 27, the President of the People's Bank of China Yi Gang accepted an exclusive interview with China International Television (CGTN) reporters.

Yi Gang, President of the People's Bank of China, said that China's monetary policy has always been compatible with the development of the real economy. Basic the growth rate of currency M2 and social financing basically match the growth rate of nominal GDP, maintain reasonable liquidity, and support the development of small and medium -sized enterprises to achieve maximum employment goals.

Over the past ten years, China's market interest rate level has declined steadily. The level of natural interest rates is mainly determined by the marginal output rate of capital and the development trend of the long -term population.

China's interest rate formation mechanism is determined by market supply and demand. The central bank guides market interest rates by using monetary policy tools. At present, the regular deposit interest rate is about 1-2%, and the bank loan interest rate is about 4-5%. At the same time, the bonds and stock markets are operating more effectively. Considering the level of inflation, it can be seen that the actual interest rate level is quite low, and the financial market can effectively allocate resources.

my country implements a flexible exchange rate system based on market supply and demand and referring to a basket of currencies for adjustment. Compared with 20 years ago, the exchange rate of the RMB to the US dollar was about 25%, the name exchange rate on the nominal exchange rate of a basket of currency appreciated by about 30%, and the actual exchange rate appreciation was higher.

China's inflation prospects are relatively stable, CPI increases by 2.1%year -on -year, and PPI increases by 6.4%year -on -year. Maintaining stable prices and maximizing employment is our focus.

Since the beginning of this year, affected by the epidemic and external impact, the Chinese economy has faced a certain downward pressure. Monetary policy will continue to make efforts to support economic recovery. At the same time, we will also emphasize structural monetary policy tools such as supporting small and medium -sized enterprises and green transformation.

Source: China News Network Guangzhou Daily · Xinhuacheng Editor: Peng Wenqiang

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