China’s central bank said that it would cut a benchmark ratio for the amount of cash banks must hold in reserve to “consolidate the foundation of economic recovery”. The reserve requirement ratio (RRR) would be slashed by 0.25 percent to around 7.4 percent from Friday, the People’s Bank of China (PBOC) said in a statement. It represents the third time the central bank has cut a key rate in the space of a few weeks, as China’s economy continues to struggle following the end of its isolationist zero-Covid policy from late last year.
“At present, China’s economic operations are sustaining their recovery… and social expectations continue to improve,” the central bank said.—APP
