The Chinese central bank announces targeted RRR cuts for smaller banks
The cut for the qualifying banks will be by 100 bps or 1% and will be implemented via two stages i.e. 15 April and 15 May. The PBOC also announces a cut to its excess reserve interest rate to 0.35% from 0.72% starting from 7 April onwards.
The central bank also says that this will release about ¥400 billion worth of funds into the financial system. The move above was already hinted earlier in the week here.
