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China / Government

China reaffirms stable exchange rate, moving forward structural reform

(Xinhua) Updated: 2016-02-29 23:23
BEIJING -- Premier Li Keqiang on Monday reaffirmed China will keep the yuan exchange rate basically stable and move forward structural reform.

When meeting with US Treasury Secretary Jacob Lew in Beijing, Li said China will continue to pursue a managed floating exchange rate regime based on market supply and demand and with reference to a basket of currencies, and will keep the exchange rate basically stable on a reasonable and balanced level.

He added that China will be more forceful in proactive fiscal policy, and will continue structural reform, especially on the supply side to foster new growth drivers and revitalize traditional drivers.

Market access will be broadened in an environment of fair competition through streamlined administration, delegated power and mass entrepreneurship, Li said.

Lew said China's policy on exchange rates and structural reform will give out positive signal to the international community.

According to Li, President Xi Jinping will meet with his US counterpart Barack Obama in near future, to boost the development of China-US ties.

All major economies, including China and the United States, should strengthen macroeconomic policy coordination to shore up market confidence and achieve the strong, sustainable and balanced growth of the world economy, Li said.

He also called for a stronger China-US trade relationship. China became the largest trading partner of the United States last year.

China is ready for closer communication and coordination with the United States, taking care of each other's concerns, and promoting a reciprocal, high-level bilateral investment agreement, the premier said.

Lew said the United States will strengthen communication with China and negotiation on the bilateral investment agreement to achieve substantial progress at an early date.

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