Decreased the excess reserve ratio for the first time in 12 years Use money where it is needed most

Decreased the excess reserve ratio for the first time in 12 years “Use money where it is needed most”
After nearly a week of supervised “spoilers” several times, the third consecutive year ‘s announcement of the RRR cut on April 3 came as scheduled, but the excess reserve ratio was lowered for the first time in 12 years but it was “seeing for a long time”.Initially announced that for the rural credit cooperatives, rural commercial banks, rural cooperative banks, village banks and urban commercial banks operating only in provincial administrative areas, the deposit reserve ratio will be lowered by 1 on April 15 and May 15.Implemented in place twice, each time down to 0.Five averages, releasing a total of about 400 billion yuan in long-term funds.At the same time, it was decided to reduce the interest rate of the consolidated excess deposit reserve of financial institutions from 0 on April 7.72% down to 0.35%, the interest rate has been zero since 2008.99% down to 0.After 72%, no adjustment has been made.It is not surprising that the targeted RRR cuts came, but the excess reserve ratio was lowered for the first time in 12 years, but it was “seeing for a long time.”Lianping told the sauna and Yewang that the excess deposit reserve is a requirement for commercial banks to pay statutory deposit reserve in accordance with the continuous requirements. If the funds are ample, they can also be placed in replacement and pay interest.”This time the emerging interest rate of excess deposit reserve will be reduced from 0.72% down to 0.The 35% range is not small, basically very clear, that is, if you want commercial banks to have ample funds, do n’t place them, but more can play a role in supporting the real economy, such as credit and investment bonds.”Lian Ping said.Zong Liang also believes that the transition is to allow financial institutions to use their money where it is most needed, rather than depositing it gradually.The reduction of the excess reserve ratio and the targeted RRR cuts are unified and coordinated, so that financial institutions’ funds can be more compact and flow more into the real economy, providing better support for the development of the real economy.This rare operation also carries more signals.Lian Ping said that the reduction of the excess reserve ratio also reflects the positive effect of the world economic recession on the changes of the Chinese economy. It is absolutely necessary for macro policies to increase the code from all angles, and macro policy adjustment efforts have been significantly increased.”Monetary authorities can be said to be using various means to promote commercial banks to make better use of financial resources to support the real economy, especially to further promote the recovery of the real economy’s demand and recovery.”” Lian Ping said.