Interest rates to be in line with potential growth, PBOC governor says

China will implement counter-cyclical adjustments and keep interest rates at a level in line with the requirements of achieving the potential economic growth rate, said Pan Gongsheng, governor of the People's Bank of China, the country's central bank.

Pan said on Wednesday that the PBOC will maintain the country's interest rates at a reasonable level so that financing costs of the real economy can decrease while maintaining overall stable.

Citing that the country is well on track to accomplish this year's GDP growth target of around 5 percent, Pan stressed the importance of striking the right balance between the rate of economic growth and the quality and sustainability of growth.

The Chinese economy needs to maintain a reasonable growth rate, but achieving high-quality, sustainable development is even more important, Pan said.

Pan, who is also the administrator of the State Administration of Foreign Exchange, made the remarks at the opening ceremony of the Annual Conference of Financial Street Forum 2023.