Reserve ratio cut to assist financing, aid growth

The central bank has cut the amount of money banks must keep in reserve and reduced benchmark interest rates in a move to consolidate the rebound of economic growth and keep companies' financing costs down.

The People's Bank of China announced it is lowering the reserve requirement ratio by half a percentage point for city commercial banks and non-county-level rural commercial banks that have lent a certain portion of their loans to companies involved in agriculture.

It also reduced the rate by the same amount for large State-owned commercial banks, joint-equity commercial banks and foreign banks that give loans to small and micro businesses.