PBOC Panel: Don’t underestimate complexity of economic risks

A panel of PBOC board members issued a warning statement via Bloomberg on Tuesday, noting that the Chinese economy remains exposed to the external risks and that cannot be overlooked.

Zhao Yang, chief China economist at Nomura Holdings Inc. in Hong Kong, noted that the statement "highlighted the uncertainties in external economies and rising risks in international financial markets," and shows the PBOC remains open to cutting the benchmark interest rate or required reserve ratio for big banks to counter headwinds. Zhao forecasts one rate cut and three RRR cuts this year.