China’s Government Gets 1 Trillion Yuan Boost From Central Bank
- PBOC transfers profits to help pay for higher fiscal spending
- Analysts say the move could increase liquidity in system
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China’s central bank stepped up its financial support for the economy, saying it will transfer more than 1 trillion yuan ($158 billion) in profits to the government to help finance fiscal spending.
It’s the first time the People’s Bank of China has disclosed this kind of transfer, although it’s required by law to hand over profits to the government every year.