PBOC sees no basis for continued yuan slide

BEIJING: China’s central bank governor said there’s no basis for continued depreciation of the yuan because the balance of payments is good, capital outflows are normal and the exchange rate is basically stable against a basket of currencies, according to an interview published in Caixin magazine.

Zhou Xiaochuan dismissed speculation that China plans to tighten capital controls and said there’s no need to worry about a short-term decline in foreign-exchange reserves, adding that the country has ample holdings for payments and to defend stability.