MNI BRIEF: PBOC Aims At Steady Interest Rates To Avoid Risk

The People’s Bank of China will ensure policy rates remain at appropriate levels, looking to prevent rate risk, taking lessons from the collapse of Silicon Valley Bank and last year's volatility across China’s wealth management market, Zou Lan, head of the Monetary Policy Department of the PBOC told reporters in a briefing on Thursday.

China's property market has seen recent improvement and confidence is returning thanks to the policy support, reflected by higher mortgage lending and developer bank loans in Q1, Zou said, noting developers raised more funds via bond issues in Q4. Zou also said some temporary targeted monetary tools will be withdrawn as credit demand in key and weak sectors recovers.

The PBOC will maintain the yuan at a reasonable and balanced level and closely watch developments in global financial markets, Zou noted, stressing it will further boost yuan exchange rate flrxibility.