Finally, the interest rate instrument will be used appropriately to adjust the money supply, but at this moment the central bank has no intention to lower interest rates. Toward the establishment of a modern financial system and a regulatory/supervisory system In 1997 the financial sector functioned in a sound manner and contributed in a significant way to economic development and social stability.
In 1998 we will continue to pursue a moderately tight monetary policy and make strong efforts toward the establishment of a modern financial system and a regulatory/supervisory system to the extent that all financial institutions will be properly regulated/supervised by law, and financial risks are properly reduced in the interest of significantly improving the order in the financial industry and promoting a high and steady growth of the economy.