(Corrects figure to 40 percent from 4 percent in paragraph 6)
* Positive changes in structural adjustments of economy-PBOC
* C.bank reaffirms prudent policy, says to keep liquidityample
* PBOC pledges to keep yuan basically stable
* China due to report first-quarter economic growth onWednesdayBEIJING, April 15 (Reuters) - China's central bank on Mondaycalled for more coordination between the country's monetarypolicy, fiscal policy and other policies as Beijing seeks tofend off risks and maintain stable economic growth.Some positive changes have occurred in the structuraladjustments of the Chinese economy in the first quarter, butdeep problems remain amid uncertainties, the People's Bank ofChina said in a statement on its website following a quarterlymeeting of its monetary policy committee.The PBOC did not elaborate on what the structuraladjustments have been.
The central bank reiterated its pledge to continue with aprudent monetary policy that is neither too loose or too tight,and ensure reasonably ample liquidity in the interbank market.It repeated that Beijing will not resort to "flood-like"stimulus.
Iris Pang, Greater China economist at ING, expects the taxcuts and additional infrastructure spending planned by thegovernment to amount to 4 trillion yuan ($596.45 billion) thisyear.
"With a sizeable 4 trillion yuan fiscal stimulus this year
and a monetary easing policy that has created 40 percent creditgrowth in the first quarter alone, we expect the Chinese economyto grow above the 6 percent lower boundary target set by thegovernment," said Pang in a note on Monday.China will report the first-quarter economic growth pace onWednesday.A Reuters poll showed that growth likely cooled to theweakest pace in at least 27 years, but a flurry of measures toboost domestic demand may have put a floor under slowingactivity in March. To encourage more lending, the PBOC has already slashedbanks' reserve requirement ratio (RRR) five times over the pastyear and is widely expected to ease policy further in comingquarters to spur lending and reduce borrowing costs, especiallyfor small and private firms vital for growth and job creation.The central bank will seek a balance among currency exchangerate, interest rate and international balance of payment, thePBOC said, adding that it will steadily push forward interestrate reforms.The yuan currency will be kept basically stable,it said.
($1 = 6.7064 Chinese yuan) (Reporting by Beijing Monitoring Desk; Editing by RichardBorsuk)