China cbank sees temporary economic impact from virus

Chinese investors check stock prices at a brokerage house in Beijing. (File photo: AP)

China’s central bank said it will use various monetary policy tools to ensure liquidity remains reasonably ample, and added that the broader economic impact from a fast-spreading coronavirus outbreak in the country should be temporary.

In multiple statements issued on Saturday afternoon, the People’s Bank of China (PBOC) said that it will appropriately lower lending rates to support firms affected by virus outbreak.

It added that the impact from the epidemic on the broad economy should be temporary. So far, the virus has claimed the lives of nearly 260 people.

Investors are bracing for a volatile session in Chinese markets when onshore trades resume on Monday after a break for the Lunar New Year which was extended by the government due to the virus outbreak.

The statements from the PBOC were jointly issued with banking and insurance, securities, foreign exchange regulators and finance ministry.

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Last Update: Wednesday, 20 May 2020 KSA 09:57 - GMT 06:57
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