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Mining shares are also lower, after China's move to cut its reserve requirement ratio - the amount of cash banks are required to hold as reserves - renewed worries about a slowdown in the country's economy.
News that China had reduced reserve requirement ratio - the amount of cash banks are required to hold as reserves - renewed worries about a slowdown in the country's economy and sent mining shares lower.
"It's a supplementary measure to the reserve requirement ratio increase they announced earlier.
The reserve requirement ratio determines the level of reserves a bank must hold in cash or deposits.
It was the third increase in the banks' so-called reserve requirement ratio this year.
A first rise in the so-called "reserve requirement ratio" for banks came in mid-January.
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It is widely expected to cut interest rates further and/or lower reserve requirement ratios for all banks this year.
The paper said the policy focus should be on managing reserve requirement ratios (RRR) to ensure stable growth in money supply.
Policymakers in Beijing have cut interest rates five times since November and also slashed bank reserve requirement ratios in a bid to bolster economic growth.
Beijing has so far relied heavily on so-called reserve requirement ratios for lenders as a policy tool.
The People's Bank of China (PBOC) announced on Saturday it would allow a 0.5% cut in banks' reserve requirement ratios – to 20.5% in most cases – from 24 February.
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