Hong Kong (CNN Business) China has decided it's time to loosen its purse strings and pump money into the economy in a bid to stave off threats to the recovery.
The People's Bank of China on Monday said it would cut the reserve requirement ratio for most banks by half a percentage point, starting December 15. That move, which reduces the amount of money that banks have to keep in reserve, will unleash some 1.2 trillion yuan ($188 billion) for business and household loans. The decision — the second cut to that ratio this year — came on the same day China's Politburo signaled that it may take more aggressive actions to protect the economy in 2022. The Chinese Communist Party's leadership team, chaired by President Xi Jinping, said in a statement that "ensuring stability" would be a top priority in the coming year.
Submitted December 08, 2021 at 03:30AM by lexi_con https://ift.tt/3owocg0
