“It’s not news that he’ll retire next year. The precedent I’ve observed with major central banks is when new leaders come on board they tend to bring in new ways of decision-making.
‘‘I don’t expect major changes to PBOC’s policy stance to support monetary and economic stability for the first six months or so, especially at this point in time when macro conditions are not that stable externally or internally.
‘‘During his tenure, Zhou Xiaochuan brought about a fair bit of changes and pushed through a more technocrat style of decision-making.
‘‘However, in terms of the structure in decision-making, the power still very much lies with the State Council given how important monetary policy is and how much that’s tied to central policy in China. I don’t foresee any changes to that centralized structure even with a new leader on board.”