People's Bank of China (PBOC)

Pan made the comments Monday during an unexpected appearance at the event just as the People’s Bank of China issued a statement outlining new measures to defend the yuan.

The yuan has fallen sharply since mid-October and slid Thursday after a media report said authorities were considering letting it depreciate in response to the threat of a trade war with the US.

China’s economic data showed some early signs of stabilisation last month, after the government rolled out a range of measures to put the economy back on track for 5% growth.

The onshore equity benchmark slipped into a correction on Thursday after a high-profile press briefing on measures to support the property market ended with no major outlays.

The reality is that the Chinese state is not all that exceptional. Like the governments of most countries, it is often myopic and torn between short- and long-term goals.

The Chinese government's briefings have fueled sharp swings in sentiment, as investors shifted money from trading accounts to savings.

The latest announcement comes as the stock rally cools on the lack of immediate fiscal stimulus following a weeklong national holiday.

The move came ahead of the National Day Holiday that will last seven days from Oct 1.

The one-year loan prime rate will stay at 3.35% and the five-year rate remains at 3.85%.

The proposed changes aren’t likely to come in overnight.