China's central bank governor Thursday ruled out the possibility of a raise in interest rate this month as the current rise in consumer price index (CPI) has not yet reached the level for an interest rate adjustment.

"As for the policy for next month or a longer period in the future, we have to make further observation," said Zhou Xiaochuan, governor of the People's Bank of China.

The central bank will keep a close watch of the country's economic development and price changes and will decide whether to readjust the monetary policies, Zhou said at a press conference held on the sidelines of the annual session of the national legislature.

According to him, the central bank has adopted a series of measures to guard against possible inflation since last year, and to strengthen macrocontrol, the central bank will make timely, proper adjustments to the monetary policies according to changes in the situation.
 
(Xinhua News Agency March 11, 2004)