China in stimulus mode cuts bank reserve ratio again

Beijing

CHINA cut the amount of cash the country's lenders must set aside as reserves by the most since the global financial crisis just days after a report showed the slowest economic growth in six years.

The reserve-requirement ratio will be reduced by 1 percentage point effective April 20, the People's Bank of China said on its website on Sunday, the second reduction this year and the largest since November 2008. The level will decline to 18.5 per cent, based on previous statements.