PBOC

I bet it's not a piece of good news for PBOC which is trying to curb China's soaring inflation.

Nevertheless, this was published with the PBoC's approval and, quite possibly, with that of people much higher up still.

On the Monday after its statement, the PBOC let the currency appreciate by over 0. 4%, generating quite a bit of excitement.

Zhou Xiaochuan, the PBoC governor, speaking at conference in Beijing, said the move to a tighter policy would be taken gradually.

'The key issue isn't whether the PBOC agrees, ' he said. The issue is whether top leaders agree. '

Property and financial stocks were among the hardest hit by disappointment that the PBoC had not opted for a bigger rate cut.

But it is likely that the PBoC will be under orders to hold off raising rates or arresting loan growth for at least the next six months.

"One of the ways the PBOC has gained leverage over the export lobby is to be able to point at currency legislation, " Mr Scissors says.

A PBOC spokeswoman on Thursday declined to comment, though at least one observer called it a 'warning shot. '

While most developments have been theoretical, Mr Guo said he was in talks with the PBoC and others to develop the concept.

The PBOC must prevent the arbitrage of exchange rates between the onshore renminbi and offshore renminbi , he said .

Second, what sort of loan quota will the PBOC roll out for next year?

"The PBOC [is] fully aware of the global situation . . . but from the political point of view they have to be very careful, " Mr Qu said.

The PBoC said the IMF should also manage a portion of its member countries foreign currency reserves.

Economists also expect first-quarter economic growth figures, due to be released on Thursday, to put more pressure on the PBoC.

Critics, however, said the PBOC's actions at the time still left it behind the curve in fighting inflation.

Six years ago, China's central bank governor Zhou Xiaochuan said the country's corporate bond market was in a "deep coma" .

If so, it will be a clear sign PBOC is willing to allow the banks to create more credit to make up for the gap left by the trust products.

But Mr Zhou said the PbOC was closely watching the impact of US interest rate cuts and their impact on the world economy.

The PBOC hinted then that it was moving to a new currency regime that would focus more on guiding the yuan against a basket of currencies.

The users of the payment business monitoring subsystem shall be the PBOC's competent work department and its authorized institutions.

What is unclear is whether the PBoC has now decided to avoid the RRR hike path as the preferred approach to combating inflation.

The PBoC governor this week hinted rates might have to rise further to stamp out inflation at near 11-year highs.

Previously, commercial banks were allowed to set their lending rates no higher than 70% above the PBOC benchmark rate.

The PBOC's actions reflect a growing pessimism among the country's top leaders about the direction of the global economy.

PBOC figures show that at the end of 2010, 43% of borrowers were paying above the benchmark, compared with 33% at the beginning of the year.

foremost here are the Shanghai Gold Exchange and the commercial banks, with the Central Bank (the PBoC) now taking only a supervisory role.

Mr Zhou could have been expected to step down soon in any case, as he will have served five years as PBoC chief by December.

PBOC said that the hike is aimed at reasonably controlling the money in circulation and stabilizing inflation expectations.

The PBOC is widely expected to hike banks' reserve requirements further to clamp down on credit growth.

But expected Fed rate cuts limit the PBoC's scope to hike rates more decisively if China is still determined to limit RMB appreciation.

As a small mercy to foreigners, the PBOC posted an English version of its announcement on its website.

Li's words aroused suppose of commercial banks and companies on PBOC's adjustment to "tight monetary policies" by the end of the year.

However, if China really is heading towards a meltdown, the PBoC's efforts will not do much to slow the dangerous momentum.

How would the PBoC's proposed moves towards opening up then fit with such a cautious reform?

CSRC, together with PBOC and SAFE, will review application documents and decide whether to approve the applications or not.

Beyond the PBOC, Chinese policymakers do not see the yuan as a tool to manage inflation.

Anecdotal evidence suggests commercial banks may be meeting PBoC reserve requirements by accumulating foreign currency.

The HKMA, however, intervened to make more yuan available through a currency-swap arrangement with the PBOC.

Today's announcement suggests the new system is now up and running, with the PBOC fine tuning the RRR for 40 different banks.

Those institutions most closely identified with U. S. -promoted policies, especially the PBOC, are likely to take the biggest hit.

Essentially, says Lu Feng, Director of Peking University's China Macroeconomic Research Center, the PBOC faces a conflict of interest.

The PBOC is China 's Federal Reserve, meaning that Zhou is no obscure bureaucrat or renegade academic .

The PBOC administers the country's exchange-rate policy, but it does not make it.

The PBoC said the new regulations would take effect on September 1.

The PBOC drained a net 137 billion yuan from the money market this week, its biggest weekly fund withdrawal in nearly three months.

We're seeing high headline inflation, central banks may have to hit, hit the brakes harder, particularly the PBOC.

In the short-term, the Fed's recent cuts seem likely to delay much expected rate rises by the PBoC, perhaps to as late as April.

The PBOC has raised interest rates four times since October in the current tightening cycle, with the last rate hike taking effect April 6.

To generate higher returns, the PBoC is quietly handing out investment mandates to international fund managers specialising in equities.

These foreign exchange purchases reflect the PBOC's efforts to resist renminbi appreciation against the dollar.

Nonetheless, the PBOC should use all of its existing powers of persuasion to argue more strongly for higher interest rates now.

As the biggest outlier of the bunch, the higher PBoC number was essential to driving up Moody's estimate.

Since Nov. 1, only steady yuan purchases by the PBOC have kept the value of the currency stable against the dollar, rather than falling.

In the Shanghai planning bureau, a senior official responds to a question about the PBOC guidelines to curtail credit.

Interestingly, PBOC has maintained the pattern of increasing benchmark interest rates every other month since last October.

To curb prices, the PBOC has relied instead on other instruments. It has raised reserve requirements seven times since January 2010.

The International Monetary Fund, in a staff report last year, said the PBoC needed "more discretion to independently set interest rates" .

However, the PBOC's relentless (and commendable) tightening of monetary policy has contributed to soaring grey money market rates.

"The market has a shortage of money, and there is great room for the PBOC to cut RRR further, " Zhang noted.

Mr Geithner avoided commenting on the PBOC statement, instead praising China for its "major role" in assisting global recovery.

PBOC prohibits the yuan from rising or falling against the dollar more than 0. 5% from that rate in over-the-counter mainland markets.

The PBOC said conditions are ripe for it to make the yuan more flexible because both domestic and global economic recovery is on track.

We agree with the PBoC governor's recent statement that the US slowdown will have little impact on China.

It also reduces the amount of monetary sterilisation that needs to be undertaken by the People's Bank of China.

' That's different from previous PBOC reports that said China wanted to 'maintain the RMB exchange rate stable at equilibrium level.

PBoC Governor Zhou Xiaochuan delivers a speech at the Seminar on Financial Infrastructure held in Beijing.

In its 3Q monetary policy report, the PBoC conspicuously discussed the narrowing of lending-deposit interest rate spreads.

As Mr. Derrick reminds us, the PBOC advisor Li Daokui warned some time ago that inflation is "most likely chronic. "

But, observers say, the PBOC often clashes with the ministries representing Chinese exporters.

Meanwhile, the People's Bank of China (PBoC) is emerging as an increasingly important operator. It matters more than is widely recognised.

Now the governor of the People's Bank of China has called for a new global currency "disconnected from individual nations" .

The PBOC recently appointed three scholars to advise it, two of whom, David Daokui Li and Xia Bin, have advocated currency reform.

The PBOC reacted promptly on those signals and announced its intentions to shift its monetary policy from moderate to tight.

The currency has been appreciating, the PBoC has hiked interest rates four times, and wages have been surging.

Indeed, other papers had a radically different read on the PBOC's intentions.

For technical reasons PBOC allows trading to fluctuate in a tight band around that price.

What, one wonders, does the PBOC mean by its pledge to keep the "RMB exchange rate basically stable at an adaptive and equilibrium level" ?

Hu Xioalian, vice governor of the PBOC, was noncommittal when addressing the issue at a meeting last week in Paris.

China will continue to implement a prudent monetary policy, a People's Bank of China (PBoC) official told China Business News on Tuesday.

"Given the force of the monetary expansion, it is highly likely that the PBoC will have to tighten too much because it left it too late. "

Markets, which were widely expecting an interest rate hike, viewed the PBOC's tightening as less severe than expected.

The PBOC said it will be guided by a "basket" of currencies, not the dollar alone.

In the PBOC's follow-up statement on Sunday, it stressed that the yuan's exchange rate will be flexib le 'in both directions. '

Without approval of the PBOC, no financial institution may issue any financial bond.

In July, she wrote a series of five essays, published on the PBOC's website, explaining the rationale behind changes to the currency regime.

Therefore, we expect monetary policy to remain prudent with money and credit growth kept below PBOC's targets.

But the PBOC paid more attention to commercial micro-credit, non-profit micro-credit is still playing an embarrassing legal role.

After analyzing PBOC moves before the holiday back to 2000, he predicts the PBOC won't make a move on interest rates this time.

The PBOC buys as many dollars as the market offers at the price it sets, and it pays for those dollars in RMB.

More controversially, the authors argue that the PBOC must be given full discretion to change interest rates.

When the PBOC creates yuan, it expands the money supply.

"Monetary tiger is growing fatter and fatter" , warns economist Zhou Qiren, Monetary Policy Committee (MPC) member of PBOC.

The PBOC recognizes that the underlying CPI trend is relatively steady.

Branches of foreign banks must deposit this at a PBOC designated local bank.

As China continues its economic rise, analysts said, any moves taken by the PBOC will have a growing impact on the global economy.

Longer term, the currency is fixed to the path the PBOC sets for it.

PBOC has maintained the pattern of monthly RRR hikes since last November.

Some monetary levers used by the PBoC are recognisable. There is a discount rate and standing facilities.

This week the PBOC said that some of the yuan held offshore by traders and foreign central banks could be invested in China's bond markets.

Still, for all the PBOC's chatter in recent weeks, it is leaving some very important details unsaid.

The PBOC action ran counter to signals from investors that China might guide the yuan lower.

In order to limit renminbi movement against the dollar, the PBOC purchases and sells foreign exchange reserves on a daily basis.

The PBOC has set the widening of the trading band as a long-term goal.

But, he says, 'The economic impact will be small, because the actual amount of monthly lending is controlled anyway by the PBOC. '

The bill yield had been steady at 2. 0929% for four months before it was raised to 2. 2913% after the PBOC's recent interest-rate rise.

But February's figure will give the PBOC fresh hope of remaining within its 16% target for this year.

PBOC Raises Bank Reserve Ratio Frequently: Why the Effects Are Not Obvious?

The PBoC needs to tighten monetary policy to keep a lid on inflation but its options are limited.

PBOC officials declined to comment for this article.

This plan was published by Xinhua, the state news agency, not on the PBoC's web site.

Did the PBoC have a change of heart over the state of the Chinese economy in the space of eight hours?

As regulator, the PBOC realized early the importance of having sufficient reserves to offset losses from bad debt.

On Friday evening the PBOC raised the ratio of funds that banks must hold in reserve.

As the PBoC tightened monetary policy in 2006 and 2007, renminbi appreciation was significant.

But Mr Yi's promotion within the People's Bank of China, the central bank, was important for another reason.

Other responsibilities as defined by CSRC, PBOC and SAFE based on prudent supervision principles.

And the PBOC will be able to stop tightening monetary policy and we can all live happily ever after.

Until recovery is cemented, the PBoC will be tightening by stealth.

Presumably that is what the PBOC meant by an "adaptive" currency.

Presumably that is what the PBOC meant by an "adaptive" currency.

Even as things stand, the PBOC is earning a handsome profit .

PBoC reserves have now risen to $2, 100bn, about one-third more than the reserve balances at the US Federal Reserve.

In 2007, PBOC Governor Zhou Xiaochuan said at a press conference that there are 20 currencies in the basket.

Absent these adjustments, in order to cool the economy, the PBOC keeps raising reserve requirements again and again.

In July, with this in mind, the People's Bank of China lifted a number of key restrictions.

PBOC officials didn't respond to emails requesting comment.

The People's Bank of China should raise rates further and faster, even though this channel has a limited effect on demand.

And the PBOC (the People's Bank of China) will be able to stop its tightening monetary policy, and we can all live happily ever after.

In 2006 and 2007, the PBoC increased reserve requirements repeatedly, but inflation kept climbing until February 2008.

In 2006 and 2007, the PBoC increased reserve requirements repeatedly, but inflation kept climbing until February 2008.

The PBOC shouldn't let markets laugh off their next tightening move.

The PBOC didn't offer any repurchase agreements Tuesday.

PBOC officials couldn't be reached for comment Thursday.

Couldn't the PBOC cool things off by simply raising interest rates?

The PBOC's reserve-requirement ratio has been raised five times since July 2006.

First, and most obviously, will the PBOC allow banks to exceed the 7. 5 trillion formal loan quota?

But even this understates the true rate at which the People's Bank of China (PBOC) has been piling up foreign exchange.

The PBoC also announced the standard stuff about reforming the exchange rate system and liberalizing financial markets.

The PBOC was clearer about what it intends not to do.

The PBOC was clearer about what it intends not to do.

The PBoC's last rate rise was in July.

Another positive development is that foreign banks have recently been granted access to the People's Bank of China (PBOC)'s credit bureau.

One consequence is that the PBOC and its superiors in the Chinese government have an incentive to keep interest rates low.

The PBoC lifted the deposit rate by 27 basis points, and the lending rate by 18 basis points.

Most Chinese banks also already have reserves with the PBoC greater than the new minimum level of 10. 5 per cent.

In the past, the People's Bank soaked up liquidity caused by currency intervention by issuing sterilisation bills.

China's central bank today raised the reserve requirement ratio by 50 basis points to 15%, effective January 25, 2008.

Since late last year, the PBOC has tightened monetary policy via RRR and rate hikes, as well as administrative guidance on bank lending.

On one side of the discussion is the People's Bank of China (PBOC), the country's central bank.

On one side of the discussion is the People's Bank of China (PBOC), the country's central bank.

The PBoC's lending rate remains at 5. 56 per cent.

The benchmark one-year lending rate will rise 25 basis points to 6. 06 per cent, the People's Bank of China said on Tuesday.

The PBoC raised its 1-year benchmark lending rates by 18 bps to 7. 47%.

The PBOC also raised reserve requirements on banks six times in 2010, obliging them to set aside 18. 5% of their deposits, a record ratio.

The Central Bank in China is The People's Bank of China (PBOC).

"The PBoC's policy balancing act is a precarious one, " says Haizhou Huang of Barclays Capital in Hong Kong.

'The PBOC showed they have keen awareness of what market positioning is, ' he says.

The PBOC has also signed currency-swap agreements with Argentina, Belarus, Hong Kong, Indonesia, Malaysia and South Korea.

The PBOC hiked the ratio six times last year.

Moreover, the Hong Kong Monetary Authority and PBOC are now in discussions to revise the quota for next year.

It accords with credit management provisions of PBOC and ICBC, and appraisal parameters of ICBC;

Studying and Carrying out the Important Thoughts of "Three RepresentsTheory" for All-Round Works of Branches of PBOC under the New Situation

According to the PBoC, mainland companies can now use the renminbi to launch businesses overseas and fund acquisitions,

Basic account registration card issued by PBOC (original)

The PBoC was forced to delay an auction of "sterilisation" bills last week

From the just released PBoC statement:

(Bad loans, according to the PBOC, amount to just which 2. 5 per cent of total bank assets now. )