More comments by outgoing PBOC governor Zhou
- Says that China's monetary conditions could be tight if M2 growth is lower than nominal GDP growth; vice versa
- China should watch inflation and employment to measure monetary policy
- M2 growth isn't specific tool to measure monetary policy
- No difficulty to open HK bond market to China investors
- PBOC will cooperate with market in developing digital currency
- China should pay attention to financial stability, risk controls in developing digital currency
The M2 money supply is a set of data released on a monthly basis. The latest release can be found here. It's a lot to do with credit growth, and it's a measurement of China's deleveraging and cutting down of financial risks.
Do note that Zhou is set to retire as PBOC governor at the end of the month, and China's top legislatures will vote on a new governor on 19 March.
