The depreciation pressure on the yuan has been growing amid record amounts of fund outflows from China’s stock and bond markets since the start of Russia’s invasion of Ukraine at the end of February. Photo: AP
China yuan’s pressure to ease, but ‘internal fundamentals’ remain amid coronavirus battle
- People’s Bank of China will cut the foreign exchange deposit reserve requirement ratio for banks by 1 percentage point to 8 per cent from next month
- The move is an attempt from the central bank to slow down the depreciation of the yuan and reduce the incentive to hold onto the US dollar
The depreciation pressure on the yuan has been growing amid record amounts of fund outflows from China’s stock and bond markets since the start of Russia’s invasion of Ukraine at the end of February. Photo: AP
