Currency and financial system stability are priority: PBOC governor

Maintaining currency value stability and financial stability are two top priorities of the People's Bank of China (PBOC), Yi Gang, governor of the PBOC, said on Tuesday.

At the 2023 Annual Conference of China Society for Finance and Banking in Beijing, Yi pointed out that currency value stability includes price stability and exchange rate stability.

Yi noted that maintaining the currency value at a reasonable equilibrium can provide strong endorsement to the pursuit of the Chinese path to modernization. The PBOC has been prudent in adjusting interest rates, aiming to keep real interest rates slightly below potential growth rate, he added.

Yi also stressed that the central bank must maintain financial stability, adding that the country's macroeconomic indicators, such as interest rate, exchange rate and employment rate, are relatively coordinated which can prevent systemic financial risks to a large extent.

Stable currency value and financial system can promote full employment and economic growth, Yi said.

(CGTN)