The People's Bank of China (PBC) was established on December 1, 1948 based on the consolidation of the Huabei Bank, the Beihai Bank and the Xibei Farmer Bank. In September 1983, the State Council decided to have the PBC function as a central bank. The Law of the People's Republic of China on the People's Bank of China adopted on March 18, 1995 by the 3rd Plenum of the 8th National People's Congress has since legally confirmed the PBC's central bank status. PBC performs the following major functions: • Drafting and enforcing relevant laws, rules and regulations that are related to fulfilling its functions. • Formulating and implementing monetary policy in accordance with law. • Issuing the Renminbi and administering its circulation. • Regulating financial markets, including the inter-bank lending market, the inter-bank bond market, foreign exchange market and gold market. • Preventing and mitigating systemic financial risks to safeguard financial stability. • Maintaining the Renminbi exchange rate at adaptive and equilibrium level; Holding and managing the state foreign exchange and gold reserves. • Managing the State treasury as fiscal agent. Etc.