China Central Bank To Make Monetary Policy Flexible, Targeted, Appropriate

• China will make its monetary policy flexible, targeted and appropriate, while keeping interbank liquidity reasonable, as authorities seek to consolidate a post-COVID-19 economic recovery, the central bank said. 
• China's economy has staged a strong rebound from the impact of the COVID-19 pandemic, with Chinese exporters racing ahead to fill global demand bolstering the vast industry sector, but the recovery in the consumer end has been weak. 
• The People's Bank of China (PBOC), in a statement on its website after a quarterly meeting of the monetary policy committee was concluded, flagged a still-complicated internal and external environment facing the Chinese economy. 
• It would step up forecasts and analyses of both the domestic and global economy, seek greater international economic policy coordination and fend off external shocks to support growth. 
• A recent move to reform the way banks calculate deposit rates and continued efforts to unleash potential from previous loan prime rate reforms will help drive a further decline in real lending rates, the PBOC said. Authorities will make use of relending, re-discounting and other monetary tools that would directly help the real economy, said the PBOC.

(Source: Reuters)