China's central bank governor Pan Gongsheng announced plans to slash reserve requirement ratios (RRRs) and interest rates in 2025, aiming to stabilize markets and fuel economic growth 🌱💼. The move comes as policymakers balance domestic priorities and global financial trends.
Currently, the average RRR for Chinese financial institutions sits at 6.6%, with Pan confirming there's "room for further reduction." The People's Bank of China (PBOC) will deploy tools like open market operations and medium-term lending facilities to keep liquidity flowing and lower borrowing costs for businesses and consumers 💸📊.
In a press conference during the National People's Congress, Pan highlighted support for innovation-driven sectors, pledging new structural policies to boost tech investment, consumer spending, and global trade resilience 🚀🌐. Analysts say the cuts could energize startups and multinationals eyeing Asian markets.
Cover image: PBOC Governor Pan Gongsheng speaks at the National People's Congress. /Xinhua
