Ms. Hu says it will continue to use tools to manage liquidity

Hu Xiaolian, deputy governor of the People's Bank of China, said at the annual meeting of the Chinese social Sciences November 11 that the central bank raised reserve requirements again yesterday, indicating the measures taken by the central bank in managing liquidity.　　She also stressed that the central bank will continue to maintain liquidity supply and bank liquidity stability.　　She further indicated that the next step was to continue to make effective use of these effective tools and to establish a macro-prudential regulatory framework. Hu said it is now worth studying the management of the economic cycle, through the use of regulatory frameworks, to focus on fluctuations in the economic cycle.　　It is also necessary to study macro-prudential systemic measures for sectors and areas that may cause systemic risk, such as the state's management of real estate and local financing platforms. She stressed that in the case of hot money inflows, the management of large inflows of capital could be incorporated into a macro-prudential regulatory framework. In addition to the traditional strengthening of management, restrictions, etc., can also consider the bank balance sheet management, to achieve the management of capital inflows.