Yi Gang — China's monetary policy framework - supporting the real economy and striking a balance between internal and external equilibrium

My speech is composed of four parts. The first part is an introduction to China’s monetary policy framework, the second part clarifies how monetary policy supports the real economy, the third part is about how to prevent and resolve financial risks, and the last part focuses on how to strike a balance between internal and external equilibrium. As we know, the Law of the People’s Bank of China explicitly stipulates that the ultimate goal of China’s monetary policy is to maintain currency stability and thereby facilitating economic growth. To maintain currency stability has two tiers of meanings: internally it means to maintain prices stable and externally it means to keep RMB exchange rate basically stable at an adaptive and equilibrium level....

BIS
Yi Gang: China's monetary policy framework - supporting the real economy and striking a balance between internal and external equilibrium
Lecture by Mr Yi Gang, Governor of the People's Bank of China, at Chang'an Forum, held by the Chinese Economists 50 Forum, Tsinghua University, Beijing, 13 December 2018