BEIJING – China's central bank has announced the fourth recent round of interest cuts and lower reserve requirement ratios for small businesses, as Beijing tries to shore up the country's sluggish economy.
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The People's Bank of China said Saturday that it would cut the rate on a one-year loan by commercial banks by 0.25 percentage point to 4.85 percent. The interest rate paid on a one-year deposit was lowered by 0.25 point to 2 percent.
Rates were cut on Nov. 22, March 1 and then May 11. The new rates take effect Sunday.
The central bank also says the reserve requirement ratios to small businesses would be lowered by 50 points, a move that would boost lending.
Economic growth has slowed in China, and its stock markets plunged Friday.