BEIJING - China's central bank on Tuesday said it would keep prudent monetary policy flexible, targeted and appropriate.

In its first-quarter monetary policy implementation report, the People's Bank of China said global inflation and a low base effect could drive up China's producer price index (PPI) in the second and third quarter.

However, the annual increase in the PPI for 2020-2021 is expected to stay within a reasonable range, it added.

 

(Reporting by Colin Qian and Kevin Yao; Editing by Andrew Heavens) ((Reuters Messaging: colin.qian@thomsonreuters.com))