China cut benchmark interest rates for the second time in amonth and allowed banks to offer bigger discounts on their lendingcosts, stepping up efforts to reverse a slowdown.
The one-year lending rate will fall by 31 basis points and theone-year deposit rate will drop by 25 basis points effectivetomorrow, the People's Bank of China said on its website today.Banks can offer loans of as much as 30 percent less than benchmarkrates, the central bank said.
China is acting more aggressively to promote growth that mayhave decelerated for a sixth quarter as Europe's turmoil crimpsexports and domestic property restrictions curb the housing market.Officials moved after two manufacturing indexes fell in June andahead of a report on second-quarter gross domestic product, due tobe released on July 13.
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