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China to raise bank reserve ratio by 50 points

China to raise bank reserve ratio by 50 points

Write: Erskine [2011-05-20]

China's central bank said Friday that it would increase the bank reserve requirement ratio by 50 basis points from December 20.

It was the sixth such move this year to combat accelerating inflation, as China's consumer price index (CPI), a main gauge of inflation, hit 4.4 percent in October, the highest in 25 months.