Shanghai Bureau Chief
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Nov 21, 2014

China surprises with interest rate cut to spur growth

BEIJING (Reuters) – China cut interest rates unexpectedly on Friday, stepping up efforts to support the world’s second-biggest economy as it heads towards its slowest expansion in nearly a quarter of a century.

The cut, the first in over two years, came as factory growth has stalled and the property market, long a pillar of growth, has remained weak, dragging on broader activity and curbing demand for everything from furniture to cement and steel.

Jan 20, 2014

China central bank offers emergency funds to banks amid latest cash squeeze

BEIJING/SHANGHAI (Reuters) – China’s central bank has provided emergency funding support to commercial banks and will add more cash on Tuesday, as authorities respond to a spike in cash rates ahead of a major holiday, the bank announced on Monday.

The move by the People’s Bank of China (PBOC) comes after the interest rate that banks charge each other for short-term loans spiked in recent days.

Jan 20, 2014

China c.bank offers emergency funds to banks amid latest cash squeeze

BEIJING/SHANGHAI, Jan 20 (Reuters) – China’s central bank
has provided emergency funding support to commercial banks and
will add more cash on Tuesday, as authorities respond to a spike
in cash rates ahead of a major holiday, the bank announced on
Monday.

The move by the People’s Bank of China (PBOC) comes after
the interest rate that banks charge each other for short-term
loans spiked in recent days.

Nov 12, 2013

China vows ‘decisive’ role for markets, results by 2020

BEIJING (Reuters) – China’s ruling party pledged to let markets play a “decisive” role in allocating resources as it unveiled a reform agenda for the next decade on Tuesday, looking to overhaul the world’s second-largest economy to drive future growth.

China aims to achieve “decisive results” in its reform push by 2020, with economic changes a central focus of overall reforms, the ruling Communist Party said in a communiqué released by state media at the end of a four-day closed-door meeting of the party’s 205-member Central Committee.

Jul 19, 2013

China frees up lending rates in major reform

BEIJING (Reuters) – China’s central bank removed controls on bank lending rates, effective Saturday, in a long-awaited move that signals the new leadership’s determination to carry out market-oriented reforms.

The move gives commercial banks the freedom to compete for borrowers, a reform the People’s Bank of China said on Friday will help lower financial costs for companies. Previously, the lending floor was 70 percent of the benchmark lending rate.

Jul 19, 2013

China liberalizes bank lending rates in reform push

BEIJING (Reuters) – China’s central bank announced long-awaited interest rate reforms on Friday, removing controls on the rates banks may charge clients for loans, in a step towards more market-driven pricing of credit.

The People’s Bank of China (PBOC) said in a statement on its website that it was removing its floor on lending rates for commercial banks, meaning that banks will now be able to cut rates as much as they see fit to attract borrowers.

Jun 26, 2013

China’s ICBC says happy to help, hopes for clearer policy signals

BEIJING (Reuters) – China’s biggest bank was uncertain of how to respond to turmoil in money markets last week because there was no clear direction from policymakers on what they wanted to achieve, according to its top executive.

Jiang Jianqing, Chairman of Industrial and Commercial Bank of China Ltd (ICBC) (601398.SS: Quote, Profile, Research, Stock Buzz) (1398.HK: Quote, Profile, Research, Stock Buzz), stopped short of directly criticizing regulators for their handling of the stand-off over money market liquidity, which saw overnight borrowing rates soar and caused panic at some smaller banks.

Jun 23, 2013

Amid China market stand off, calls for a more transparent central bank

BEIJING, June 23 (Reuters) – China’s central bank rarely
explains its actions in public and keeps markets guessing on
policy, but the angst created by its stand off with banks in the
money markets is prompting calls for it to change tack.

The People’s Bank of China (PBOC) let short-term interest
rates spike to extraordinary levels this past week as it refused
to inject funds into money markets.

Jun 21, 2013

China central bank holds line on shadow banking as rates spike

SHANGHAI/BEIJING (Reuters) – China’s central bank faced down the country’s cash-hungry banks on Friday, letting interest rates again spike to extraordinary levels as it increases the pressure on the banks to rein in rampant informal lending and speculative trading.

The banks have been using cheap official funds to finance the vast “shadow banking” market, which Beijing worries is siphoning credit from industry and creating asset-price bubbles.

Jun 21, 2013

China c.bank holds line on shadow banking as rates spike

SHANGHAI/BEIJING, June 21 (Reuters) – China’s central bank
faced down the country’s cash-hungry banks on Friday, letting
interest rates again spike to extraordinary levels as it
increases the pressure on the banks to rein in rampant informal
lending and speculative trading.

The banks have been using cheap official funds to finance
the vast “shadow banking” market, which Beijing worries is
siphoning credit from industry and creating asset-price bubbles.

    • About Jason

      "Jason leads Reuters' coverage of China's financial markets from Shanghai. Prior to moving there at the start of 2010, he reported on the Chinese economy and policy from Beijing, where he lived for a decade."
      Joined Reuters:
      2005
      Languages:
      Mandarin, German
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