Home
News
- China aims to keep a stable currency for the citizens and added further that the overall liquidity of the banking system would be 900 billion yuan more than in the same period last year.
- China’s central bank urged financial institutions to provide “sufficient credit resources” to hospitals and other medical organizations, among other measures.
China saw the slowest economic growth of 6.1 per cent in the last three decades last year, seems to be having just a more challenging situation coming up against them. Post the deadly coronavirus outbreak which is claimed to have taken over 300 lives and infected over 14,000 people in China alone.
Analysts are warning that economic growth could weaken further if the spread of the epidemic virus goes on for a longer period. Researchers are in constant work to find a cure and a treatment for the same.
PBOC Looking for “sufficient credit resources”
Chinese Central Bank or People’s Bank of China in an official statement on their website stated that:
“To maintain reasonable and abundant liquidity of the banking system and stable operation of the currency market during the special period of epidemic prevention and control. On February 3, 2020, the People’s Bank of China will launch a 1.2 trillion yuan open market reverse repo operation to invest funds to ensure adequate liquidity supply. The overall liquidity of the system is 900 billion yuan more than the same period last year.”
China aims to keep a stable currency for the citizens and added further that the overall liquidity of the banking system would be 900 billion yuan more than in the same period last year. Also announcing a range of measures to step up monetary and credit support up to enterprises which are taking initiatives and helping out in its battle against the virus epidemic, including medical enterprises.
China’s central bank urged financial institutions to provide “sufficient credit resources” to hospitals and other medical organizations, among other measures. The move to facilitate liquidity into its financial system in response to tackling the virus, which is already damaging the economy and social welfare of China.
Cryptoverse post coronavirus
This virus outbreak may further also affect the crypto market, which previously seemed to be having a hard time with constant degrowths in China. This step of increasing liquidity to financial institutes may help cryptoassets to gain some growth in a very challenging time. Another risk of falling price may threaten the already struggling cryptocurrency market in China and make it further difficult for crypto companies to grow their base.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
