China’s central bank has unveiled a major package of measures aimed at reviving the country’s flagging economy.
People’s Bank of China (PBOC) Governor Pan Gongsheng announced plans to lower borrowing costs and allow banks to increase their lending.
The move comes after a series of disappointing data has increased expectations in recent months that the world’s second largest economy will miss its own 5% growth target this year.
Stock markets in Asia jumped after Mr Pan’s announcement.
Speaking at a rare news conference alongside officials from two other financial regulators, Mr Pan said the central bank would cut the amount of cash banks have to hold in reserve – known as reserve requirement ratios (RRR).
The RRR will initially be cut by half a percentage point, in a move expected to free up about 1 trillion yuan ($142bn; £106bn).
Mr Pan added that another cut may be made later in the year.
Further measures aimed to boost China’s…
