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The People's Bank of China announced late.....>

CHINA
MNI (London)
CHINA: The People's Bank of China announced late Tuesday to reduce its reserve
requirement ratio of banks by 100 bps, starting from April 25. The central bank
said in a statement that the move is to "guide institutions to strengthen
support for small and micro businesses, increase the stability of capital in
banking system and optimize liquidity structure." The PBOC stressed banks need
to repay the medium-term lending facility to the central bank from the capital
they get from the RRR cut. In a separate Q&A statement, PBOC said the operation
will release CNY400 billion. But it reiterated it will maintain a prudent and
neutral monetary policy, stabilize liquidity situation and guide credit and
social finance to growth at a proper pace.
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com

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