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China’s central bank cuts benchmark lending rate

Published 06/27/2015, 05:39 AM
Updated 06/27/2015, 02:39 PM
People's Bank of China cuts benchmark rate for the fourth time since November

Investing.com - The People's Bank of China on Saturday cut benchmark interest rates for a fourth time since November, and held open the door to more cuts, as the monetary authority steps up policy easing in the face a deepening slowdown.

The 25 basis point cuts were announced Saturday and bring the one-year lending rate down to 4.85% and the equivalent deposit rate to 2% effective June 28.

According to the statement, reserve ratios for some lenders including city commercial and rural commercial banks will be cut by 50 basis points.

Saturday's rate changes follow a plunge of 20 percent in China's stock market in the last two weeks.

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