PBoC cuts RRR amid growing instability
The move will release $108 billion amid concerns on the slowing economy and trade disputes
In a widely expected move, the People’s Bank of China has announced the third cut in the reserve requirement ratio (RRR) this year, releasing 700 billion yuan ($108 billion) into the economy.
The reduction, which aimed to support lending to smaller firms and the “debt-to-equity swap programme”, was announced on Sunday evening (June 24), following through on the government’s recent rhetoric on rate cuts.
It also followed outspoken comments from governor Yi Gang and other central bank officials
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