Anbound's scholars point out that the statements made by Premier Li Keqiang during the World Economic Forum’s "Summer Davos" shed light on the trend of the China’s financial policy.

Firstly, the overall reform of financial system will be moving forward but the actual plans will be implemented gradually.

Secondly, there’s no room for a continuous depreciation of the yuan, China will not want to stimulate exports through depreciation.

Thirdly, both the RMB’s internationalization and capital account liberalization will slow down but the long term goal remains.

China’s financial policy is moving towards contraction.