China frees up $70 billion for banks to underpin slowing economy

China frees up $70 billion for banks to underpin slowing economy

- The People's Bank of China (PBOC) said it would cut the reserve requirement ratio for banks by 25 basis points (bps), effective from Dec. 5. - That would lower the weighted average ratio for financial institutions to 7.8%, the central bank said. China said on Friday it would cut the amount of cash that banks must hold as reserves for the second time this year, releasing about 500 billion yuan ($69.8 billion) in long-term liquidity to prop up the …