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China raises reserve ratio to curb liquidity

(Xinhua)
Updated: 2008-04-16 17:33

China's central bank on Wednesday ordered banks to set aside more money as reserves, the third such move this year, in the latest effort to curb excess liquidity and ease inflation.

The reserve requirement ratio would be raised by 0.5 percentage points to a record high of 16 percent as of April 25, the People's Bank of China (PBOC) said in a statement on its Web site.