Central banks and regulators play a key role here, as a key foundation of that is an effective regulatory and supervisory framework, that supports confidence in the functioning of the financial system and markets.
The economic indicators for China were weak in April, after a strong initial bounce-back following the easing of the COVID restrictions late last year (Graph 9). And consistent with an economy operating with a fair degree of spare capacity, inflation in China is much lower than in the rest of the world.