China to keep monetary policy prudent, neutral

BEIJING - China's monetary policy will be kept prudent and neutral in 2017, said a central bank statement issued Friday, echoing the tone set at the Central Economic Work Conference.

In the statement issued after a work conference, the People's Bank of China also promised better adjustments of the monetary floodgates to ensure stable liquidity.

Financial services should accommodate the need to advance supply-side structural reforms, while strengthening support for national strategies such as capacity cuts, industrial restructuring and Beijing-Tianjin-Hebei Coordinated Development, the central bank said.

The bank also said it would deepen financial system reforms, and improve policies and other conditions for the internationalization of the RMB while guarding against financial risks.

China will continue reform of the foreign exchange management system, further participate in global financial governance, and improve financial services and management, according to the statement.