The governor of China's central bank Zhou Xiaochuan yesterday denied rumors saying RMB exchange rate will be readjusted in January 2006. He also said the central bank does not have "fixed arrangements" for swap businesses.

Zhou made the remarks at Caijing Magazine Annual Conference held in Beijing yesterday. Zhou also made comments on recent economic forecasts and noted attentions should be given to the flexibility of the Chinese economy.

Zhou noted that the speeded flow of work force, increasing proportion of small and medium-sized enterprises and deepening of reform help make the Chinese economy more flexible. He suggested economic forecast to lay emphasis on choice of fundamental theories and analysis of variable factors.

By People's Daily Online