PBOC adviser: China should improve targeted RRR cuts

A policy adviser to the People’s Bank of China (PBOC) is on the wires now, via Reuters, with key comments found below.

China should improve targeted RRR cuts.

Should also improve the MPA mechanism.

Should use policy interest rate to replace bank lending and deposit rates over time.

Should let financial oversight body coordinate fiscal, monetary policies, and macro-prudential assessment.