The People's Bank of China has today again lowered its interest rates in a bid to stimulate the economy
- 1 year benchmark lending rate cut by 25 bps to 4.85%
- 1 year benchmark deposit rate cut by 25 bps to 2.0%
- reserve requirement ratio (RRR) for banks lending to farm sector and SMEs lowered by 50 bps
PBOC said
"The interest rate and RRR cuts, will help stabilise growth, adjust structures and lower social financing costs", the central bank said. Going forward, the central bank will continue to implement prudent monetary policy, use various policy tools to strengthen and improve marco-prudential management, optimise policy combinations and create neutral and appropriate monetary and financial environments for economic adjustments and upgrading."
The PBOC last cut rates, also by 25 bps on May 10
Full statement from their website here
Reuters has more here
It's going to be a lively opening in Asia tomorrow with this and the Greek deal fall-out
I have to head away now but will try and pop by later with any key updates to the Greek situation, if Adam hasn't already done so
Have a great week-end everyone, but let's also spare a thought, indeed many, for all those tragically caught up in the terrorist attacks yesterday
