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PBOC Lowers Risk Reserves Ratio for FX Forwards Trading to Zero - Bloomberg

China will lower a reserve ratio for financial institutions when conducting some forex forwards trading to zero.

The ratio will be cut from 20% and is effective Oct. 12, according to a statement from the People’s Bank of China on Saturday. The PBOC will continue to maintain flexibility in the yuan exchange rate and stabilize market expectations, it said.

It will also keep the yuan basically stable at a reasonable equilibrium level, the central bank said.

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    https://www.bloomberg.com/news/articles/2020-10-10/pboc-lowers-risk-reserves-ratio-for-fx-forwards-trading-to-zero

    2020-10-10 11:08:00Z
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