22 March 2019

China may raise benchmark rates in 1H 2014, paper says

China is likely to raise the benchmark deposit and lending rates in the first half of next year if inflation climbs to over 4 percent, the Shanghai Securities News reported Monday, citing Wang Guogang, head of the institute of finance and banking at the Chinese Academy of Social Sciences. The central bank may further cut banks’ reserve requirement ratio during the period if trade and foreign investment-related foreign exchange inflows decrease, according to the newspaper. Wang expects M2, a broad measure of money supply, to grow around 14 percent in 2014, with bank loans projected to grow at the same rate, the report said.

– Contact HKEJ at [email protected]




    EJI Weekly Newsletter

    Please click here to unsubscribe