Chinese money growth slowed to its lowest in more than a decade last month, keeping the pressure on the government to loosen monetary policy and prevent the economy from slowing too sharply.
Beijing has already switched to easing mode, as marked by its cut of banks’ reserve requirements two weeks ago, but the latest data showed downside risks were still proliferating.
The broad M2 measure of money supply rose 12.7 per cent from a year earlier, the slowest since May 2001 and well below the 16 per cent rate that the central bank believes is necessary to support economic growth.
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