China to Cut Rates and RRR Next Year, PBOC Official Says
- Room to reduce RRR, 21st Century cites Wang Xin as saying
- Fiscal deficit ratio to be widened, another official says
Shanghai, China.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
China will cut interest rates and the reserve requirement ratio in a timely manner next year, the 21st Century Business Herald reported, citing Wang Xin, director of the research bureau under the People’s Bank of China.
The central bank will increase the intensity of monetary and credit supply, Wang said at an event on Saturday, according to the report. It has room to further reduce the RRR — the amount of cash banks must hold in reserve — from the current average level of 6.6%, he said.