China’s central bank has been pumping vast sums of money into the banking system in an effort to get banks to expand lend to factories and workshops. Photo: ReutersChina’s central bank has been pumping vast sums of money into the banking system in an effort to get banks to expand lend to factories and workshops. Photo: Reuters
China’s central bank has been pumping vast sums of money into the banking system in an effort to get banks to expand lend to factories and workshops. Photo: Reuters

Coronavirus: why is China keeping its powder dry on interest rates as economic contagion grows?

  • The People’s Bank of China has refused to join other major central banks in cutting its benchmark lending rate to staunch the economic shock of the coronavirus pandemic
  • Beijing has taken a more cautious approach, instead pumping money into the banking system to boost lending by cutting the required reserve ratio

Topic |   Coronavirus pandemic
China’s central bank has been pumping vast sums of money into the banking system in an effort to get banks to expand lend to factories and workshops. Photo: ReutersChina’s central bank has been pumping vast sums of money into the banking system in an effort to get banks to expand lend to factories and workshops. Photo: Reuters
China’s central bank has been pumping vast sums of money into the banking system in an effort to get banks to expand lend to factories and workshops. Photo: Reuters
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