China should avoid big swings in lending, central bank governor Zhou Xiaochuan said in an interview posted on the Web site of China Finance and dated yesterday. He also cautioned banks against lending to industries with excess capacity. He reiterated that Chinese monetary policy targets low inflation, economic growth, jobs and a balance in international payments. Zhou said that the world economy is slowly recovering. While the outlook for China’s economy is good, the nation’s recovery remains at a key stage, he said. China Finance is published by the People’s Bank of China.