China Economy

China will maintain 'normal' monetary policy as long as possible, says its central bank

Key Points
  • The exchange rate of China's yuan is decided by the markets' supply and demand, it will not resort to competitive devaluation of the yuan, China's central bank governor Yi Gang wrote on Sunday.
  • China's central bank will continue to promote reform of the yuan, and keep it basically stable on a reasonably balanced level, Yi said.
A pedestrian walks past the People's Bank of China (PBOC) headquarters on August 6, 2019 in Beijing, China.
Xu Jinbai | Visual China Group | Getty Images

China's central bank governor said on Sunday that the country should maintain "normal" monetary policy as long as possible since economic growth is still within a reasonable range and inflation is mild overall.

The exchange rate of China's yuan is decided by the markets' supply and demand, it will not resort to competitive devaluation of the yuan, Yi Gang wrote in an article published by the leading Communist Party theoretical journal Qiushi.

China's central bank will continue to promote reform of the yuan, and keep it basically stable on a reasonably balanced level, Yi said.

Yi also said China will strengthen the supervision of property financing markets.