Tue. May 24th, 2022

Photo taken on Feb. 3, 2020 shows International Monetary Fund (IMF) Managing Director Kristalina Georgieva in Washington D.C., the United States. Georgieva said the IMF supports China’s efforts to tackle the novel coronavirus outbreak, and is confident that China’s economy “remains resilient.” (IMF/Handout via Xinhua)

WASHINGTON — The International Monetary Fund (IMF) supports China’s efforts to tackle the novel coronavirus outbreak, and is confident that China’s economy “remains resilient,” IMF Managing Director Kristalina Georgieva said Monday.

In a statement on Twitter and a similar one on Chinese social media platform Sina Weibo, the IMF chief expressed that “our deep sympathies to all those affected by the serious situation related to #Coronavirus.”

“We support China’s efforts to respond, including recent fiscal, monetary, and financial actions,” Georgieva said. “We are confident that China’s economy remains resilient.”

In a recent press briefing, IMF spokesperson Gerry Rice had also shown support for China’s battle against the novel coronavirus outbreak, noting that Chinese authorities are clearly “taking this very seriously.”

Rice said China is a large economy with the resources and the resolve to effectively meet the challenge of the outbreak of pneumonia caused by the novel coronavirus (2019-nCoV).

Limited impact

In Beijing, China’s securities regulator said the nCoV outbreak has limited impact on China’s stock market and the long-term trend of the market remains unchanged.

The opening of stock market trading on February 3 is showing China’s respect for market rules and its determination to overcome difficulties, sources with the China Securities Regulatory Commission (CSRC) said in an interview with Xinhua.

The CSRC pledged to stay vigilant to any anomalies on the A-shares market and prepare hedging tools to buffer potential impact.

A series of measures currently under government deliberation to recover production and keep the economy stable will help improve market expectations, noted the CSRC.

Night trading of futures will be suspended starting Monday until further notice, said the CSRC.

The CSRC said risks relating to stock pledges are generally under control, and it will grant a six-month extension on stock pledge agreements for companies and individuals in Hubei Province where the coronavirus emerged and three to six months for other regions.

Brokerages will be encouraged by the CSRC and the People’s Bank of China to issue new bonds like special financial bonds or corporate bonds to replenish liquidity.

Noting that companies hit by the outbreak could face short-term pressure to repay corporate bonds, the CSRC said it will set up “green channels” for issuance of new bonds and revise the timetable for repayment to ferry the companies through rough patches. (Xinhua)

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