China’s central bank to further optimize financial services

Beijing: China’s central bank has pledged efforts to optimize financial services this year, revealing its plans in a report on Thursday.

Efforts will be made to establish a modern central bank system and enhance counter-cyclical and cross-cyclical adjustments, the People’s Bank of China said in its latest monetary policy report for the fourth quarter of 2023.

A prudent monetary policy will be flexibly, accurately and effectively implemented, the report said, adding that the central bank will guide the reasonable growth and balanced supply of credit, and maintain reasonable and sufficient liquidity.

The bank also pledged to keep the scale of social financing and money supply in line with the targets for economic growth and price levels.

The central bank will make better use of both the aggregate and structural functions of monetary policy tools, and do better jobs in technology finance, green finance, inclusive finance, pension finance and digital finance, it said.

Financial support will be strengthened for the construction of affordable housing and public infrastructure, and the renovation of urban villages.

Underlining keeping the RMB exchange rate basically stable and in reasonable balance, the report also called for effectively preventing and defusing financial risks in key areas, and guarding against systemic financial risks.