China unveils raft of stimulus measures to boost flagging economy

Published On Sep 24, 2024, 1:56 AM

China's central bank, the People's Bank of China (PBOC), announced a significant stimulus package to boost the struggling economy. This includes reducing borrowing costs and allowing banks to increase lending. The measures involve cutting the reserve requirement ratio (RRR) for banks, which will free up approximately 1 trillion yuan (around $142 billion). Additionally, to support the distressed property market, the bank plans to lower interest rates on existing mortgages and reduce minimum down payments on homes to 15%. The announcement has already led to a rise in Asian stock markets, with major indexes in Shanghai and Hong Kong showing over 3% gains.