SHANGHAI (Reuters) - China will lower the reserve requirement ratio in the future at a “normal” pace, Yi Gang, vice governor of China’s central bank, said at a conference in Beijing on Saturday.
His comments came a day after China’s central bank cut interest rates for the sixth time in less than a year, and again lowered the reserve requirement ratio, the amount of cash that banks must hold in reserves, in a bid to jumpstart growth in the slowing economy.
Yi also noted that the stock market, which has fallen sharply since June, had completed most of its adjustments, and the yuan has stabilized.
China will continue to set benchmark lending and deposit rates for some time, Yi said, but these rates would not restrict market pricing.
Reporting By Koh Gui Qing and Alexandra Harney; Editing by Simon Cameron-Moore