(Source: The Central People's Government of the People's Republic of China) China's central bank announced on Saturday it would lower the reserve requirement for commercial lenders by 50 basis points, the second time it has taken such action this year to inject more market liquidity and shore up the economy. Effective May 18, the cut would release about 400 billion yuan into the market, said Lian Ping, chief economist at the Bank of Communications Co Ltd. After the cut, the reserve requirement ratio (RRR) for major banks will stand at 20 percent, while for small and medium-sized lenders, the ratio will be reduced to 16.5 percent. "The move reflects that the...
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