China central bank vows effective policy coordination

China's central bank has reiterated its commitment to a prudent monetary policy while also pledging to make its policy more targeted and coordinated to support the real economy. "The central bank will fine-tune its policy in a timely and proper manner to seek a balance between stabilizing growth, advancing restructuring, promoting reforms and preventing risks," said a statement released on Sunday after a regular meeting of the People's Bank of China. The bank vowed to optimize the distribution of financial resources to create a steady environment for China's ongoing economic restructuring and upgrading. It also reiterated its pledge to push forward market-oriented reforms in its interest rate and exchange rate mechanisms. The latest comments came amid the country's increasing efforts to deepen financial reforms. China on Sunday opened a pilot free trade zone in Shanghai, which will be a test bed for a wide range of market-oriented reforms, including easing restrictions on finance, investment and trade, a move widely hailed as a crucial step in the country's reform and opening up.