Stability expected for yuan this year

Sound economic fundamentals and a promising outlook for the world's second-largest economy will help the yuan to naturally stabilize this year, senior officials with the central bank said on Friday.

Zhou Xiaochuan, head of the People's Bank of China, said the yuan is expected to remain at a basically stable level this year, thanks to achievements in supply-side structural reform and promising signs that have appeared since the fourth quarter of last year.

"The market now has brighter expectations for future economic trends," said Zhou, who spoke at a news conference on the sidelines of the annual session of the National People's Congress, the top legislature. "That will help put the exchange rate of the yuan on a trend to become more stable."