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China to continue loose monetary policy

(Xinhua)
Updated: 2009-09-29 22:35

BEIJING: The monetary policy committee of China's central bank said Tuesday the government will continue the moderately easy monetary policy while highlighting the role of domestic consumption in pushing the economy.

The People's Bank of China (PBC), the central bank, will try to keep both the sustainability and stability of the policy, the committee heard at its third-quarter meeting Tuesday.

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The PBC would guide reasonable growth in money and credit and maintain sufficient liquidity in the banking system, committee members agreed.

The committee decided to optimize credit structure by supporting the development of rural areas, and small and medium-sized enterprises.

They also agreed to expand credit for consumption on the premise that domestic consumers could play a great role in pushing economic growth.

Meanwhile, credit to high energy-consuming and environment-polluting industries would be strictly controlled, they agreed.