China's central bank governor to delay retirement Zhou Xiaochuan is set to serve as China's central bank governor past the mandatory retirement age after the government devised a workaround to keep him in office, a move that analysts say will keep the country's financial reforms on track. Mr Zhou was elected deputy chairman of an advisory body to the Chinese parliament on Monday, giving him a "national-level leader" rank that will allow him to remain at the helm of the central bank despite reaching the retirement age of 65. The extension of Mr Zhou's term, which had been expected after overseas Chinese media first reported it a month ago, comes at a crucial juncture as reformers have been calling for the government to unleash more market forces in the economy. With Mr Zhou as its chief since 2002, the People's Bank of China has been at the forefront of these reforms. The central bank has gradually but steadily worked to remove the renminbi from its peg to the US dollar, to open the country's capital account and to shift the financial system away from an excessive reliance on bank lending. Promoting the renminbi as an international currency - and a potential rival to the dollar - has also become an important objective. "By keeping Mr Zhou as central bank governor, the new leaders would signal that they endorse what Mr Zhou has achieved and wish to continue China's unfinished financial reforms," Lu Ting, an economist with Bank of America Merrill Lynch, said in a note before the latest announcement. The government is expected to confirm later this week that Mr Zhou will indeed continue in his role as central bank governor. A source with ties to the leadership said it was possible that Mr Zhou could serve for another two to three years. Last year, most observers had believed the central bank governor's retirement was imminent when he was excluded from the 205-member Central Committee of the Communist Party. Previously, governors of the central bank were required to sit on that committee. But a desire for stability at a time of transition - China is in the middle of a once-in-a-decade leadership reshuffle - led the party elite to devise the solution to keep the reins of monetary policy in Mr Zhou's hands. His role as deputy chairman of the parliamentary advisory body will be largely symbolic, giving him ample time to focus on his duties at the central bank. With grey hair, an easy laugh and a penchant for speaking off the cuff, Mr Zhou has stood apart from many of his senior Communist party colleagues, who often have dyed-black hair and more rigid public personas. This seemingly independent streak plus a solid grasp of English have made Mr Zhou a well-received figure at international meetings.