China's PBOC explores gradual government bond trading with finance ministry, not quantitative easing.

China's central bank, PBOC, is studying the implementation of government bond trading with the finance ministry, according to Governor Pan Gongsheng. He stated that this practice would not equate to quantitative easing, but rather it is a tool for injecting base money and regulating liquidity. Bond trading will be a gradual process, and the central bank will optimize the pace of sovereign bond sales and the debt's tenor structure.