Last updated at: (Beijing Time) Friday, May 24, 2002
RMB Exchange Rates Stable: Governor
The exchange rates of the Chinese RMB yuan against other currencies are solidly based and will remain stable, Dai Xianglong, governor of the People's Bank of China, said Thursday in Beijing. Dai said China would continue to pursue a stable and prudent monetary policy that gave stronger support to economic growth.
The exchange rates of the Chinese RMB yuan against other currencies are solidly based and will remain stable, Dai Xianglong, governor of the People's Bank of China, said Thursday in Beijing.
The head of China's central bank told the on-going 9th General Assembly of the World Savings Banks Institute (WSBI) that China's national reserves of foreign exchanges soared to 233.8 billion U.S. dollars at the end of April, 21.6 billion U.S. dollars more than the figure at the beginning of the year.
Dai said China would continue to pursue a stable and prudent monetary policy that gave stronger support to economic growth, fended off deflation and maintained stable RMB exchange rates.
Noting that China was perfecting a managed floating system of the RMB exchange rates, he said China would gradually relax control on the capital account and encourage the free flow of foreign exchanges under the capital account. However, he said improving the exchange rate system must be subservient to maintaining the stability of RMB.
Dai said China would further relax control on floating interest rates.
According to the People's Bank of China, Chinese residents had savings deposited in banks totaling 8.67 trillion yuan (some one trillion U.S. dollars) by the end of April, accounting for 90 percent of the country's GDP and 53.6 percent of its total bank deposits.