China

IMF on interest-rate liberalization in China

A recently published article by two members of the IMF's China Division looks at the recent decision by the People's Bank of China to raise interest rates for the first time in nine years. The liberalization of rates is a landmark change, it says, and…

China's monetary policy may not tighten-PBOC

China's recent pledge to conduct a prudent monetary policy does not necessarily mean the bank will continue its credit tightening measures, the China Securities Journal reported, citing a People's Bank of China official.

SAFE spokesman says China central bank 'sound'

The People's Bank of China is "in sound financial condition," as a result of its strategies and achievements in managing the country's foreign exchange reserves, according to a spokesman for China's State Administration of Foreign Exchange (SAFE) on…

China's Xiaochuan on gold market & risk hedging

In a speech on 'Gold market functions to hedge against risks' given on 6 September , Zhou Xiaochuan of the People's Bank of China said we see as central bankers, that a developed gold market can help to complement the monetary policy instruments and…

The leak in China's banking system

The People's Bank of China's surprise decision to raise interest rates for the first time in nine years on 28 October prompted much speculation on the reason for the move. Some commentators said it marks the beginning of a liberalized interest-rate…

Kennedy on the Canadian and American economies

In a speech on 'The Canadian and American Economies: Integration, Not Convergence' given on 4 November, Sheryl Kennedy of the Bank of Canada compares aspects of the Canadian and US economies, discussing their similarities and their differences. She…

The roughest terrain in China's central banking

This article makes comparisons between China's first interest-rate increase since 1995 recently and the actions of Paul Volcker at the Federal Reserve back in October 1979. PBOC governor Zhou Xiaochuan needs to bring fresh thinking and unconventional…

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