Economic growth is primary issue to be addressed

Editor's note: China's central bank said on Jan 4 that it was cutting the ratio of cash that banks must hold as reserves by 100 basis points, or 1 percentage point of the reserve requirement ratios. Yu Yongding, a researcher of finance with the Chinese Academy of Social Sciences, commented in an interview published by Guancha.cn on Tuesday:

The move will inject about 1.5 trillion yuan ($222.2 billion) into the market, boosting market liquidity and providing funds for the cash-thirsty medium and small-sized enterprises. That's how the central bank spokesperson commented on the move.

Some others observe that the cuts in the RRR, which is the first this year, have been widely expected, especially after a spate of weak data in recent months showed China's economy was continuing to lose steam.