PBOC Still Has Policy Room With Mild Inflation, Official Says

China’s tame consumer inflation has created policy space for the People’s Bank of China, an official at the central bank said as she reaffirmed its desire to balance economic growth with keeping prices stable.

“China has implemented a normal monetary policy since the Covid pandemic started and refrained from overstimulating,” Ruan Jianhong, PBOC spokeswoman and head of the statistics and analysis department, said at a forum in Beijing on Friday. “Currently, the rise in consumer prices is mild, providing good conditions for monetary policy adjustment.”