China central bank cuts PSL rate by 25 basis points
FXI•The People’s Bank of China cut its one-year pledged supplementary lending rate to 1.5% from 1.75% and broadened the facility to support investment in several infrastructure networks. It also raised its sci-tech innovation and technological upgrading relending quota by 200 billion yuan to 1.4 trillion yuan.
1. PSL rate cut
The People’s Bank of China said it would cut the rate on pledged supplementary lending by 25 basis points, bringing the one-year rate to 1.5% from 1.75%. It also broadened the facility to support investment in water, power-grid, computing, communications, urban pipeline and logistics networks.
2. Relending quota raised
The central bank raised the quota for its sci-tech innovation and technological upgrading relending facility by 200 billion yuan to 1.4 trillion yuan.
