China's vice premier Huang Ju has reiterated that the government needs to keep the yuan stable at a "rational and balanced level" at the central bank's annual conference.

He made the comment at the central bank's annual conference this week.

The vice premier also called a strengthening of macro-control and reforms to the financial sector to keep China's economic development stable and relatively fast.

The central government began a new round of banking sector reforms in late 2003. It selected the Bank of China and the China Construction Bank to spearhead the reforms and injected 22.5 billion US dollars into each of them.

Huang, a member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, said "the central bank should continue to implement the government's moderate, steady monetary policy, regulate the general amounts of currency and loans in a rational way and further improve financial services. Relations between stability, regulation, reform and development in the financial sector should be handled well".

Huang urged the PBC to make still greater efforts in examination and supervision on the Bank of China (BOC) and the Construction Bank of China (CBC), which are being transformed into joint stock banks. Other Chinese banks should also deepen their reforms, he said.

Huang highlighted the importance of the central bank, saying that the PBC's work has an impact on China's economic development and financial stability.

The central bank is currently holding its annual work conference in Nanning, the capital of the Guangxi Zhuang Autonomous Region.

Source: Xinhua