Economics
China’s Central Bank Going It Alone Spurs an Influx of Capital
- PBOC sticks to conservative monetary policy as economy grows
- Divergence could put yuan’s global role back on track
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China’s central bank is striking out on its own with signals of tighter monetary policy, widening a divergence with other large economies that will shape global capital and trade flows next year.
With most of the world’s major nations still battling the pandemic and struggling to recover from deep recessions, China’s economy is on track to grow by about 2% this year and more than 8% in 2021.