Zhou Xiaochuan Exchange Quotations

I think it's very clear that China is introducing a new exchange rate mechanism. It is not a one-time adjustment.

The reforms of the exchange rate regime made in July meet the needs of China's economic and social development and play a significant role in maintaining macroeconomic and financial market stability.

We know the U.S. has pressures -- employment issues and elections and the credibility of the government. For China, we could also say that the current state is not only good for China but also for the rest of the world and also good for the U.S. because we are using our foreign exchange reserves to buy U.S. Treasury bonds and subsidize U.S. consumers.

These kinds of noises cannot change the various fundamental conditions and sequencing of China's exchange rate reform. They only interfere with the normal reform process.

Some US economists assume that the exchange rate is the key to fixing the trade imbalance However, such assumptions failed in statistical tests by using the trade data and the real effective exchange rate recorded in China over the years.

What the premier said means that China would continue to increase the flexibility of the RMB exchange rate in a gradual manner.

Fund surveillance should comply with the objective of promoting exchange and financial stability and respect the autonomy as to exchange-rate systems that is granted to all members.

We think (we) can allow market supply and demand to gradually bring about a greater effect on the exchange rate float.

The foreign exchange reserves are still growing. Some people are concerned that the amount of U.S. dollar assets in the reserves will fall. But that's not the case.

Otherwise, in two or three years' time, once domestic consumption loses steam, there will then be a lot of pressure around issues such as the exchange rate and trade friction.