Starting Sep 15th the Chinese central bank will change the way it calculates the reserve requirement ratio

The PBOC will now be using averaging to work out the RRR

  • Says new method could release liquidity in some situations
  • Can add liquidity when it lacked
  • Will follow prudent mon pol
  • Reform will not affect current liquidity as it's ample
  • PBOC will guide stable credit growth

More tinkering from the PBOC