China

China raises banks' FX reserve requirements for 2nd time this year

BEIJING, Dec 9 - China's central bank said on Thursday it will raise the foreign exchange reserve requirement ratio for financial institutions by 200 basis points , effective from Dec. 15.The reserve ratio will be increased to 9% from 7%, the People's Bank of China said on its website, to strengthen FX liquidity management at financial institutions.The move would force banks to set aside more of their FX deposits, which stood at $1.02 trillion at end-Nov, and markets widely believe the decisio
China raises banks' FX reserve requirements for 2nd time this year

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