China's RRR Cut Takes Effect

MT Newswires Live

2025/05/16

China's reduction of the reserve requirement ratio by 0.5 of a percentage point came into effect on Thursday, Xinhua News reported on the same day.

The first RRR cut of the year is projected to pump about 1 trillion yuan into the market, the report said.

The RRR drop to zero for auto financing and leasing firms also took effect Thursday.

The move is part of a broader push, including rate cuts and relending support, as China counters global economic pressures.

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