People’s Bank of china (PBOC) cut interest for the third time in six months. The bank lowered interest rates by 25 basis points to 5.1%. This was necessary so as to forester economic growth and development in china. The bank also cut the benchmark deposit rate to 2.25%.
The move was anticipated after poor economic figures from trade activities which show the economy is slowing down. Chinas economic growth is expected to be stable by 2017 at around 7%, according to IMF. THE Economy currently operates at an economic growth of about -7.4% in 2014; this is the weakest in more than a decade.