Home>News Center>China
       
 

Scholar: Watch deflation after yuan move
(Agencies)
Updated: 2005-07-25 14:02

Last week's 2.1 percent appreciation of China's currency, the yuan, and an accompanying shift to a managed float is expected to win time for China but cannot by themselves iron out the economy's imbalances, Yu Yongding, a member of the central bank's monetary policy committee, said in remarks published Monday.

Scholar: Watch deflation after yuan move
China's exchange rate reform is a 'slow business', central bank head Zhou Xiaochuan said on May 24, 2005. [AFP]
Yu said the central bank needed to be alert to the risk of deflation if the yuan appreciated further and that the authorities had to be ready at any time to introduce offsetting polices, for instance demand-boosting fiscal measures.

"In the short term, pressure for yuan appreciation will increase further. The change to the currency regime and the small appreciation of the yuan cannot solve China's economic imbalances and the problems of the economy," Yu was quoted by the China Securities Journal as saying.

The paper did not say where or when Yu, who is the only academic member of the People's Bank of China's policy-making committee, was speaking.

He said gradual, controlled appreciation of the yuan in tight ranges could win time for the Chinese economy to adjust.

International financial markets would definitely bet that the 2.1 percent revaluation would not be the end of the currency's appreciation, Yu said.

But the system of a managed float that China has adopted would allow it to contain speculative forces and reduce excessive fluctuations in the exchange rate, Yu said.

And because China has capital controls and other policy tools at its disposal, the authorities could limit the impact of any "attack" on its economy stemming from currency appreciation and market speculations of a further strengthening, he added.

In order to avoid continued market pressure for the yuan to crawl higher, the central bank would pursue its role as market participant in perfecting the process of exchange rate formation, Yu said.

China last Thursday scrapped the yuan's decade-long peg to the dollar and replaced it with a system under which its value will be managed with reference to a basket of currencies.

The yuan will be allowed to move up or down by as much as 0.3 percent against the dollar during a working day. On Friday, the first day of the new regime, the currency hugged a tight range around the new benchmark of 8.11 per dollar.



Fire kills 5 in Northeast China
Aerobatics show in Hunan
Final rehearsal
  Today's Top News     Top China News
 

Australia, US, Japan praise China for Asia engagement

 

   
 

Banker: China doing its best on flexible yuan

 

   
 

Hopes high for oil pipeline deal

 

   
 

Possibilities of bird flu outbreaks reduced

 

   
 

Milosevic buried after emotional farewell

 

   
 

China considers trade contracts in India

 

   
  EU likely to impose tax on imports of Chinese shoes
   
  Bankers confident about future growth
   
  Curtain to be raised on Year of Russia
   
  Coal output set to reach record high of 2.5b tons
   
  WTO: China should reconsider currency plan
   
  China: Military buildup 'transparent'
   
 
  Go to Another Section  
 
 
  Story Tools  
   
  Related Stories  
   
Officials: No rush on yuan reform
   
China spends US$195b to maintain yuan peg
   
Governor: Yuan peg reform 'a slow business'
   
Wen: Goal for yuan is a managed float
   
Yuan reform 'up to China' : ASEM Finance Ministers' Meeting
   
Yuan reform "up to China" : ASEM FMM
   
Yuan move won't alter US trade gap
Manufacturers, Exporters, Wholesalers - Global trade starts here.
Advertisement
         
主站蜘蛛池模板: 纯肉高H啪动漫| 97视频免费在线| 日韩免费无砖专区2020狼| 亚洲欧美日韩另类在线| 精品久久久久久无码中文字幕一区| 国产午夜精品一区二区三区不卡| 182tv在线观看国产路线一| 夜恋全部国产精品视频| 免费黄色网址在线播放| 香港三级电影在线观看| 国产精品亚洲二区在线播放| 99在线精品免费视频| 小泽玛利亚番号| 尾野真知子日韩专区在线| 久久精品国产亚洲一区二区| 精品福利视频导航| 国产又污又爽又色的网站| 天天综合色天天桴色| 国产精品视频一区二区三区四| av无码免费看| 妇女自拍偷自拍亚洲精品| 中文字幕一二三四区2021| 日本免费看视频| 久久棈精品久久久久久噜噜| 李丽珍蜜桃成熟时电影3在线观看 李丽珍蜜桃成熟时电影在线播放观看 | 色噜噜狠狠色综合中文字幕| 国产女人18毛片水真多1| 天天在线天天综合网色| 国产精品亚洲二区在线观看| 2022韩国最新三级伦理在线观看| 国产麻豆91网在线看| 99热在线观看精品| 天堂中文8资源在线8| wwwxxxx在线观看| 好男人在线社区www我在线观看 | 国产一级做a爰片久久毛片99| 香蕉国产人午夜视频在线| 国产成人无码免费视频97| 久久久xxxx| 国产极品大学生酒店| 欧美污视频网站|