CENTRAL bank Governor Yi Gang said yesterday that authorities are in no rush to take big policy easing steps, in contrast with other central banks around the world, and must maintain a prudent policy stance.

There is still relatively big policy room but it should be “treasured,” said Yi, adding that some people worry that major economies may exhaust monetary policy tools amid talk of negative interest rates.

Overall financial risks are contained and those in the shadow banking sector and some key institutions have been resolved, said Yi, reiterating the People’s Bank of China’s policy stance at a joint briefing in Beijing with Finance Minister Liu Kun and National Bureau of Statistics head Ning Jizhe yesterday.

Interest rates are appropriate and the central bank has ample monetary policy tools, the People’s Bank of China said in a statement ahead of the briefing. Inflation remains relatively moderate, Yi said, and the central bank will remain patient.

“We are not in a rush to roll out massive rate cuts or QE like some other central banks,” Yi said.

Even as China grapples with growth on pace for the slowest expansion in almost 30 years, policy makers are holding back from all-out stimulus as they continue efforts to rein in financial risks. That’s a contrast to other global central banks, including the U.S. Federal Reserve and the European Central Bank, which are either cutting borrowing costs further or flagging a willingness to do so.

China will step up efforts to stabilize economic growth, Ning of the National Bureau of Statistics said, adding that authorities will relax restrictions on auto purchases.

Infrastructure spending is accelerating, and the key is to ensure capital from all sources is put to good use for the projects, said Ning.

The People’s Bank of China cut the amount of cash banks must hold as reserves this month to the lowest level since 2007, though it’s still holding off on cutting borrowing costs more broadly.

Yi repeated that China has no timetable for the introduction of a digital currency, but said the central bank has made good progress studying digital currencies since 2014.

If a digital currency is used across borders, there will be anti-money laundering and other regulatory issues that need to be addressed, he said.

(SD-Agencies)