Zhou Xiaochuan: Monetary Policy Should Be Focused

China's actual condition

To grasp the balance between the four objectives of currency stability, economic growth, full employment and international balance of payments, we must grasp the balance between overall consideration and overall balance, and focus on the major contradictions and outstanding problems in the macro-economic operation for a period of time. We should consider multiple objectives with different weights and reasonably grasp the intensity, rhythm and emphasis of policy implementation.

Zhou Xiao Sichuan

It is necessary to further improve the modern financial regulation system with indirect regulation and control, and constantly enrich the means of regulation and control by the central bank.

We should attach great importance to the microscopic foundation of monetary policy pmission, continue to deepen the reform of financial institutions, reform the interest rate market and reform the RMB exchange rate formation mechanism, enhance the sensitivity of the economic subjects to monetary policy, enhance communication with the market and the public, guide the anticipation reasonably, and ensure timely and effective pmission of monetary policy.

At the same time, we should strengthen the coordination of monetary policy with industrial policies and fiscal policies, consciously maintain the unity of macroeconomic regulation and control, and give full play to the overall effect of various policies.

Floating exchange rate system

It is a choice based on China's national conditions and development strategy. It is an inevitable requirement for deepening reform and opening to the outside world, especially after joining the world trade organization, adapting to the new development and opening up pattern. It is compatible with China's economic development stage, market system improvement process, financial supervision level and enterprise bearing capacity, and is in line with China's long-term and fundamental interests.