PBOC Governor: No basis for persistent RMB depreciation

People’s Bank of China Governor Zhou is speaking at the G20 in Shanghai, noting that latest data shows positive signs for growth in 2016, adding that there is no basis for persistent RMB depreciation.

Headlines

Although GDP growth ins slower than in the past, it is still sustainable

China economic fundamentals remain strong

High savings rate can be translate into high level of investment

Will continue prudent monetary policy

China still has monetary space and tools to tackle downward pressure

Fiscal policy will be more proactive

No basis for persistent RMB depreciation

China still runs high surplus in trade and has low inflation