Reported about 1 year ago
China's central bank, the People's Bank of China, has recently shown more flexibility in liquidity adjustments, shifting towards tightening. Experts predict that due to factors such as government bond issuances, fiscal revenue and expenditure, and foreign exchange deposits, there is a liquidity gap of around 800 billion CNY in July. It is widely expected in the market that there will be further reserve requirement ratio cuts in the third quarter, with at least two more cuts of 0.5 percentage points each expected by the end of the year.
Source: YAHOO