The PBoC deployed a large cut in the RRR to arrest flagging growth momentum
Published on Monday, April 20, 2015 | Updated on Sunday, May 13, 2018
The PBoC deployed a large cut in the RRR to arrest flagging growth momentum
Summary
Yesterday, the People’s Bank of China (PBoC) cut the required reserve ratio (RRR) by 100 bps to 18.5%, effective from April 20th. It is the second time of a universal RRR cut since last November when monetary policy shifted to be accommodative, along with two 25-bps interest rate cuts during the same period.
Topics
- Topic Tags
- Regional Analysis China
- Macroeconomic Analysis
Authors
Le Xia
BBVA Research - Chief Economist
Jinyue Dong
BBVA Research - Principal Economist