The financial crisis has shown that inflation targeting is inflexible and insufficient in achieving other macroeconomic goals, Zhou Xiaochuan, the governor of the People's Bank of China (PBoC), has said. In an interview published by China Finance magazine on Monday, he indicated that these sentiments were echoed internationally.

"When the Federal Reserve formulates monetary policy, it targets both low inflation and high employment. Other central banks do this as well, and in overcoming the