China: Central Bank Reserve Ratios Increased

China: Central Bank Reserve Ratios Increased December 10, 2010 China has ordered lenders to put more money into the central bank for the third time in five weeks to counter the threat of inflation after November's lending and trade surplus exceeded analysts' estimates, Bloomberg reported Dec. 10. According to a statement on the People's Bank of China website, reserve requirements will increase 50 basis points beginning Dec. 20. The move has resulted in reserve ratios of 18.5 percent for the biggest banks, excluding any additional curbs for individual lenders not announced to the public. Terms of Use | Privacy Policy | Contact Us  © Copyright 2010 Stratfor. All rights reserved.