BEIJING, Jan. 2 (Xinhua) -- In the latest effort to boost growth, China's central bank has pledged to push market-based reforms, aiming to significantly bring down real interest rate levels and cut social financing costs.
Prudent monetary policy should be pursued with moderate flexibility to maintain market liquidity at a reasonably ample level, according to a statement published Wednesday after a regular meeting of the central bank monetary policy committee.
China will ensure that the increases in M2 money supply and aggregate financing should be in keeping with nominal GDP growth, the statement said, ruling out the possibility of "flood-like" stimulus.
Financial supply-side structural reform will be advanced to enhance support for high-quality development, and more efforts will be made to guide financial institutions to step up loans to the real economy.
The central bank also promised to expand two-way financial opening, push the switch to new pricing benchmarks of outstanding loans, and keep the yuan's exchange rate basically stable at a reasonable and balanced level.
The central bank will seek a balance between stabilizing growth and preventing risks, anchor market expectations, and forestall systemic financial risks, said the statement.
A single purchase
