PBoC: China to keep monetary policy continuous, stable

The People's Bank of China (PBoC), the central bank, vowed to maintain continuity and stability of its monetary policy in a report released on Tuesday. PBoC will continue to adopt prudent monetary policy and fine tune it in light of changes so that the policy can stabilize growth, boost reforms, adjust structures, enhance people's welfare and prevent risks, said the report. To this end, the central bank will flexibly use monetary instruments, including open market operations (OMO), reserve requirement ratio (RRR), standing lending facility (SLF) and short-term liquidity operations (SLO). The central bank said that monetary policy will allow market forces to allocate resources. PBoC will guide commercial banks to better manage their assets and liabilities in order to prevent liquidity risk.