China may decrease bank reserves further

Note: This section contains information in English only.
Source: Marketwatch

Analysts expect further easing of China's bank reserve requirement ratio amid lower inflationary pressure and economic slowdown. Earlier the People's Bank of China decreased reserve requirements by 0.5%, making the first decrease in the last three years. Credit control is also becoming a serious issue as loan-expansion rate coupled with money supplies are high to the nominal GDP growth.

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