Chinese authorities have indicated that the People’s Bank of China may reduce the amount of funds banks must set aside in reserves to expand lending, even after providing large amounts of liquidity through other tools in recent weeks. did.
The People’s Bank of China may use open market operations, medium-term lending facilities, and reserve requirement facilities, among other monetary policy tools, to “strongly” support a reasonable increase in credit. elephant runDirector of the People’s Bank of China’s Monetary Policy Department told state-run Xinhua News Agency.