China central bank holds medium-term rate


Weak economy: A vendor sells livestock at a market in Shenyang in northeastern China’s Liaoning province. A 1% fall in the yuan against the dollar so far this year is deterring rate cuts. — AFP

SHANGHAI: China’s central bank left the medium-term policy rate unchanged yesterday, defying market expectations as signs of a weaker currency continued to limit the scope of monetary easing.

A slew of recent economic indicators continued to reflect the country’s uneven economic recovery, with a pick-up in exports in December but weak credit growth and persistent deflationary pressure calling for more stimulus measures.

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