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  • Central bank raises deposit reserve ratio
    Date: 26-Feb-2007 Sources: (Shenzhen Daily)

    THE central bank yesterday raised the required reserve ratio for financial institutions engaging in deposit business by 0.5 percentage points to 10 percent, the second hike in two straight months.

    This moderate increase shows that the People's Bank of China had shied away from using drastic moves to absorb liquidity as the country's consumer price index, the measure for inflation, grew by only 2.2 percent in January, down 0.6 percentage points from the previous month, analysts said.



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