“Major economies should strengthen cooperation to avoid negative impact on each other as they unwind the ultra-loose monetary policies and fiscal stimulants in the post-pandemic era, “the People’s Bank of China (PBOC)-run newspaper Financial News reported, citing comments from Xiao Yuanqi, Vice Chairman of China Banking and Insurance Regulatory Commission (CBIRC).

Xiao said: “Countries should also act to bring inflation back into an acceptable range, as it is likely to cause serious social unrest should the income growth fails to keep up with price gains.”

Market reaction

USD/CNY was last seen losing 0.07% on the day, trading at 6.3717.