The Central Bank Announced The Implementation Of Monetary Policy Report &Nbsp, Suggesting Continued Interest Rate Increases To Control Inflation.

China's monetary policy implementation report released in 2011 in the first quarter of the central bank announced that the next stage should be based on the requirements of the development of the situation and continue to use interest rates and other means of price regulation to regulate capital demand. Investment saving Behavior, manage inflation expectations, strengthen the monitoring and regulation of the total amount of social financing, and maintain a reasonable scale and rhythm of social financing.

In the next stage, the central bank will earnestly implement a prudent monetary policy, pay attention to the rhythm and intensity of regulation, maintain continuity and stability of policies, and improve pertinence, flexibility and effectiveness. On the one hand, we must deal with the relationship between controlling the total amount of money and improving the structure. While meeting the needs of economic development, we must eliminate the monetary conditions of inflation, and strive to optimize the structure so as to better meet diversified investment and financing needs. On the other hand, we should deal with the relationship between economic growth and inflation. The current growth rate and employment are at a reasonable level. Stabilize prices And managing inflation expectations is the key and the primary task of macroeconomic regulation and control. We must maintain the necessary regulation and control efforts, consolidate and strengthen the results of pre regulation and control, and further consolidate the good momentum of economic development.

The central bank stressed the need to continue to strengthen liquidity management and control the total liquidity gate. The reserve ratio tool is directed against the excess liquidity caused by foreign exchange inflows, and its application and adjustment depends on many variable conditions. Therefore, there is no absolute upper limit. According to the changes in the economic and financial situation and foreign exchange movements, we should make comprehensive use of monetary policy tools such as open market operations and deposit reserve ratio, and rationally arrange policy instruments combination, term structure and operation intensity, strengthen liquidity management, and maintain a reasonable and moderate liquidity in the banking system. Money and credit Moderate growth.

The central bank proposed to combine monetary credit and total liquidity management with macro Prudential Management, adjust moderately according to the macroeconomic situation and the stability of the banking system, continue to implement the dynamic adjustment measures of differential reserves, guide and encourage the financial institutions to maintain stability and adjust their credit, and enhance the risk prevention ability of financial institutions.