Zhongxin Finance, June 27. According to the central bank's website on June 27, Yi Gang, Governor of the People's Bank of China, accepted an exclusive interview with a reporter from China International Television (CGTN).

　　Yi Gang, governor of the People's Bank of China, said that China's monetary policy has always been in line with supporting the development of the real economy.

The growth rate of broad money M2 and social financing basically matches the growth rate of nominal GDP, maintain a reasonable and sufficient liquidity, and support the development of small and medium-sized enterprises to achieve the goal of maximizing employment.

　　Over the past decade, China's market interest rate levels have been steady with some declines.

The level of natural interest rate is mainly determined by the marginal product rate of capital and the long-term development trend of population.

　　China's interest rate formation mechanism is determined by market supply and demand, and the central bank guides market interest rates through the use of monetary policy tools.

At present, the interest rate of time deposits is about 1-2%, and the interest rate of bank loans is about 4-5%. At the same time, the bond and stock markets are operating relatively efficiently.

Taking into account the level of inflation, it can be seen that the real interest rate level is quite low, and the financial market can allocate resources efficiently.

　　my country implements a flexible exchange rate system based on market supply and demand and adjusted with reference to a basket of currencies.

Compared with 20 years ago, the RMB has appreciated by about 25% against the U.S. dollar and about 30% against a basket of currencies in nominal terms, with a higher real exchange rate appreciation.

　　China's inflation outlook is relatively stable, with CPI up 2.1% year-on-year and PPI up 6.4% year-on-year.

Keeping prices stable and maximizing employment are our priorities.

　　Since the beginning of this year, due to the impact of the epidemic and external shocks, China's economy has faced certain downward pressure.

Monetary policy will continue to exert efforts in aggregate to support economic recovery.

At the same time, we will also emphasize the good use of structural monetary policy tools such as supporting SMEs and green transformation.

(Finish)

search

copy