China vows to maintain appropriate liquidity

China's central bank said on Saturday that it will apply monetary policy instruments in the coming months to keep liquidity at an appropriate level and achieve reasonable growth in credit and social financing.

In a quarterly monetary policy report, the People's Bank of China said instruments including open market operations, changing the reserve requirement ratio, relending, and rediscounting will be adopted to manage liquidity in the banking system.

The central bank will also strengthen communication with the market and the public to stabilize expectations and ensure stable performance of the interest rate, according to the report.

China will continue to implement sound monetary policy in 2014 with a focus on making it more forward-looking, targeted and coordinated while carrying out policy fine-tuning in a timely and appropriate manner, according to the report.