Why China’s top economic adviser Liu He could be next central bank chief
Source says Beijing is looking for ‘highly trusted and resourceful figure’ to take the lead on reforms – and Liu stands out
President Xi Jinping’s bold plan to transform China’s increasingly complex financial agencies has made his trusted aide Liu He the most likely candidate to head the central bank, according to sources close to the People’s Bank of China.
The Harvard-educated technocrat – and President Xi Jinping’s right-hand man on economic policy – is highly likely to succeed 70-year-old Zhou Xiaochuan as head of the central bank after China’s annual legislative session is held next month, people with knowledge of the situation said.
At the same time, Liu, 66, is also widely expected to become vice-premier in charge of economic and financial affairs in March. That would put him on a par with Zhu Rongji, known for his tough approach to tackling the economic chaos when he was vice-premier and central bank governor from 1993 to 1995.
“Liu He stands out from the other candidates because the top leadership has decided that only a highly trusted and resourceful figure can take the lead on increasingly complicated reforms,” one of the sources said.
Liu also stands out because China is considering a major restructure of its top government agencies. One of the proposals on the table is to elevate and expand the functions of the central bank, according to sources.
