China's Zhou speaks on financial stability

Flexibility and adaptability must be improved if central banks are to successfully deal with financial instability, says Zhou Xiaochuan, the governor of the People's Bank of China.

"The governor of the Bank of England was criticised for his response to the Northern Rock on the floor of Parliament, where he was blamed of changing his position over a few days. In fact, financial markets are fast changing, and judgments must be made according to specific conditions," Zhou said. "It's normal for one

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