PBoC Cuts RRR for Some Banks

The People's Bank of China lowered the reserve requirement ratio by 50-100bps for banks that have met inclusive financing targets on March 13th, but held the ratio for large banks at 12.5 percent.

It was the second cut this year, allowing the release of CNY 550 billion, or USD 79 billion, in liquidity to support the economy hurt by the Covid-19 pandemic.

The bank also said it was slashing the RRR for qualified joint-stock banks by an additional 100 bps.