Arab Today, arab today china announces rural financing package
Last Updated : GMT 06:58:51
Arab Today, arab today
Arab Today, arab today

China announces rural financing package

Arab Today, arab today

Arab Today, arab today China announces rural financing package

Beijing - XINHUA

China will cut the reserve requirement ratio (RRR) for some rural financial institutions to provide more financing support for the rural economy, China's cabinet, the State Council, announced on Wednesday. China will cut the RRR for county-level rural commercial banks and rural credit cooperative unions that meet certain standards, according to a statement that followed a cabinet meeting. It did not specify the standards. The RRR sets the minimum fraction of customer deposits that each commercial bank must hold as reserves rather than lending, and is an important monetary tool used by central banks. Lowering the RRR is often aimed at boosting bank lending and economic growth. The meeting chaired by Premier Li Keqiang also decided to provide tax incentives to companies employing those who have been out of work for more than one year.

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